Inclusive finance and agricultural development in Africa

This chapter provides an overview of agricultural credit and financial inclusion in Africa, but with limited focus. The reality is that each country has unique financial structures and programs with varying degrees of access and usage. There is significant variability between West and East Africa, and Northern and Southern Africa. This is evidenced by the heterogeneity in the common elements such as deposits, credit, mobile use or insurance discussed herein. Financial inclusion in Continental Africa has mixed impacts depending on country and region. A significant number of micro-studies across Africa concludes that there is a relationship between agricultural credit and agricultural productivity, and with respect to insurance outcomes look promising except, perhaps, for the very poor. The very poor need specifically targeted policies that could include subsidies.