The African Development Bank has approved a $3 million loan to Togo to boost its agricultural sector. The funds, approved on June 18th, will enable an earlier loan issued by the Africa Development Fund to be directed to Togo’s Agro-Food Processing Project for the purchase of farm inputs for over 150,000 farmers.
The funding will boost agricultural production through inputs that will increase cereal and garden produce. A statement from the AfDB says that the inputs will “boost additional production of 12,700 tonnes of maize, 18,000 tonnes of rice, 1,700 tonnes of sesame seeds, and 2,200 tonnes of market garden produce.”
Speaking on the funding, the bank’s Director of Agriculture & Agro-Industry said:
“In addition to reducing the effects of COVID-19 on food security, the planned input procurement operation will ultimately contribute to increasing production and thereby reduce food imports.”
Agriculture is Key to Togo
In Togo, agriculture accounts for 40% of the GDP and 65% of employment. Measures to control the pandemic have adversely affected this sector, disrupting the food supply chain and threatening access to agricultural inputs. Therefore, assistance towards agriculture averts a looming food crisis and protects a vital sector of Togo’s economy.
Togo is also looking forward to additional support from the AfDB. Currently, the bank is considering a budget support package worth $27.44 million to support the country’s economic and health resilience during the pandemic.