Department of Agricultural Finance
Agricultural finance is the provision of multiple types of services dedicated to supporting both on- and off-farm agricultural activities and businesses including input provision, production, and distribution, wholesale, processing and marketing. The market demand for smallholder agriculture finance is US$450 billion, most of which is unmet. Without access to credit, most smallholders are restricted to farming practices that result in low levels of productivity. Although many new types of formal financial institutions have spread to the rural areas of developing countries, the majority of smallholders have limited or no access to them. Farm surveys often show that less than 1 in 10 smallholder farmers is eligible for a commercial loan from a bank or other financial organisation.