Roundup: IFAD urges Africa to invest in agriculture to fight poverty

The UN's International Fund for Agricultural Development (IFAD) on Monday called on African countries to invest in agriculture which has the potential to unlock prosperity on the continent.

IFAD President, Kanayo Nwanze said increased investments in agriculture can lift millions of Africans out of poverty at a time when the continent is expected to experience its slowest growth rate this millennium.

"Investments in agriculture can generate great riches for the continent and lift millions out of poverty and hunger. There are high returns to those countries that take agriculture seriously," Nwanze said in a statement received in Nairobi.

Speaking ahead of the Grow Africa Investment Forum and the World Economic Forum on Africa (WEF) to be held in Kigali, Rwanda this week, Nwanze said with the right investments, Africa could double its agricultural productivity in the next five years.

Nwanze said that investments alone will not transform the continent, noting that governments need to ensure that there is a strong commitment to policies and incentives that encourage higher food production by smallholder farmers.

"At IFAD we know that small-scale farmers do not want hand-outs. They want economic opportunities. I am looking forward to discussing how we can create those opportunities and make agriculture a profitable sector and a powerful catalyst for development," Nwanze said.

The Grow Africa and WEF events will bring together global and regional heads of government, business and civil society in an event where Nwanze will participate in a high-level panel discussion at Grow Africa on "Accelerating Agricultural Transformation."

Since 2009 Africa has been seen as the next great investment frontier yet, according to the International Monetary Fund, economic growth on the continent is now predicted to be slower than the rest of the world for the first time in 16 years.

With many countries in southern and eastern Africa suffering from the worst drought in decades, and with fiscal deficits widening and conflicts increasing, some experts are questioning whether Africa is still on the rise.

Nwanze said Africa is still a continent of unprecedented opportunity, and supporting small-scale farmers and investing in rural areas are some of the best ways for countries to meet their broader development objectives, including poverty reduction.

"Half of the world's uncultivated land which is suited for growing food crops is in Africa," he said, urging for the need to work together to harness the continent's potential.

"This means investing in small-scale farmers who are the backbone of African agriculture," said Nwanze.

He said Africa has 25 per cent of the world's arable land, yet it generates only 10 per cent of global agricultural output.

With a population growth of 2.7 per cent annually, food demand on the continent is expected to double every 30 years, the IFAD president noted.

He said investments that encourage increased agricultural production would cut Africa's annual 35 billion U.S. dollars food import bill, keeping this money on the continent to be used for broader economic development. Enditem