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Agricultural small and medium enterprises (agri-SMEs), as Africa's largest employer and economic engine, are the key to fighting hunger. Yet three out of four agri-SMEs can’t access bank loans, and are too large for microfinance, creating an estimated $100 billion gap in unmet demand for financing. Bridging this gap is critical to feeding the future.

At the 2023 U.N. General Assembly, USAID and Norway announced the Financing for Agricultural Small-and-Medium Enterprises in Africa (FASA) Fund to spur investment in Africa’s agricultural growth. Working with Congress, USAID and Norway will each provide an initial commitment of $35 million. With these commitments, Norway and the U.S. aim to reach $200 million through additional donor contributions to catalyze hundreds of millions more in commercial financing by reducing investment risk. This fund has the potential to support 500 agri-SMEs and 1.5 million smallholder farmers, ultimately benefiting nearly 7.5 million people. The fund will also support nearly 60,000 private sector jobs.

Bridging the Gap: Financing Africa’s Agricultural Growth

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Women farmers. PHOTO CREDIT: Sofi Lundin / Panorama news

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Launched by Norway and USAID, the “Financing for Agricultural Small and Medium Enterprises in Africa (FASA)" Fund is a multi-donor fund that addresses the financing challenges faced by agricultural small and medium-sized enterprises (agri-SMEs) across Africa.

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Statement of Support for Blended Finance for A Food Secure Africa

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In Bandiagara, Mali, three women from the Yaam Girobolo Toumo Cooperative Society are happy to show off their cowpea harvest. Hamdia Traore /DevWorks International

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Agricultural small and medium enterprises (agri-SMEs) are Africa’s largest employer and economic engine—and the key to transforming a largely subsistence agriculture sector into a commercially-sustainable industry that can feed the continent.

FASA Fund FAQ

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The FASA Fund frequently asked questions.

Latest News

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Assistant to the Administrator Dina Esposito at the Africa Food Systems Forum

I want to start with a special thanks to AGRA for their close partnership and express my deep appreciation for their leader, Agnes Kalibata, whose expert insights and visionary leadership have fueled AGRA’s growth and, more importantly, its impact, helping transform subsistence farms into thriving commercial businesses; reducing hunger, poverty; and improving nutrition in the process.

Administrator Samantha Power Meets with Norwegian Minister of International Development Cooperation Anne Beathe Tvinnereim

Today, Administrator Samantha Power spoke with Anne Beathe Tvinnereim, Norway’s Minister of International Development, to discuss the humanitarian responses in Gaza and Ukraine, as well as the urgent need for contributions to the Multinational Security Support mission to Haiti. Administrator Power expressed her gratitude for Norway’s contributions to date on these and other global priorities.

USAID Feed the Future Deputy Coordinator Dina Esposito at the Borlaug Dialogue on the Food System Repercussions of Russia's War Against Ukraine

Russia’s invasion of Ukraine was a huge shock to food systems around the world, as was COVID, and we can say with some certainty that there are more on the way.  What these takeaways tell us is that many well understood and longstanding priorities – whether it be investing in women, increasing access to finance, reforming trade policy, or improving on farm production practices – will require sustained attention and collective action among multiple stakeholders if we are to deliver on more resilient food systems. 

On World Food Day, Recommitting to Advancing Food Security Worldwide

With populations, water scarcity, and the frequency and intensity of natural disasters rising, tackling food insecurity is one of the most complex challenges we face as an Agency. But we know real progress is possible: in Feed the Future’s first decade alone, the effort helped reduce poverty, hunger, and child stunting by 25 percent in the areas where it worked. Now is the time to redouble our efforts and build on this progress toward a more food secure world.