Agriculture Finance & Agriculture Insurance: A Review

Abstract

Agriculture and its many associated value addition agribusinesses and services must play a crucial role in order to meet the 17 new global Sustainable Development Goals (SDGs), including their important goals and targets toward ending hunger, poverty and reducing inequality by 2030. The SDG investment required is estimated at more than $4 trillion annually. Current investment in SDG-related areas leaves an annual financing gap of $2-3 trillion per year of which agriculture, water, climate change and related agricultural and rural infrastructure make up a majority. Global public goods are an important part of financing sustainable development but the private sector is clearly important. Due to the nature of the sector, and despite many efforts by the public and private sectors and private capital that exists, meeting the heavy demand for agricultural investment capital and providing sustainable financial services for rural areas and agriculture has proven to be extremely difficult.