14 December 2021

The role of finance and PDBs in promoting sustainable agriculture around the world


In light of the current international determination to achieve a more sustainable model of development aligned with the SDGs (United Nations, Department of Economic and Social Affairs2021), food systems can play a strategic role in combating climate change and accelerating the ecological transition. Food systems should be strengthened. The Coalition of Action for Inclusive and Sustainable Food System Finance (IFAD2021) highlights a significant funding gap in these systems, despite diverse actors and instruments. Actions should be taken to enhance the opportunities for the actors of the financial ecosystem to effectively invest in food systems, at different levels, including at the level of marginalized microproducers. The G20 Matera Declaration on Food Security, Nutrition and Food Systems (G20 2021) acknowledges the need to strengthen the financial ecosystem as a whole, incorporating more sustainable financial inclusion, and stresses a specific role of public development banks (PDBs).