In an effort to address worsening hunger in various African regions due to armed conflict and extreme weather attributed to climate change, the United States and Norway

are set to pledge a combined total of $70 million to establish a fund aimed at assisting farmers and agricultural businesses on the continent. The announcement was made by USAID Administrator Samantha Power and Norwegian Minister of International Development Beathe Tvinnereim during the U.N. General Assembly.

The fund, which seeks to attract additional contributions from donors, aspires to reach a total of $200 million and has the potential to benefit approximately 7.5 million people. USAID and Norway will each provide an initial $35 million. The fund's objectives include supporting 500 small- and medium-sized agricultural enterprises, assisting 1.5 million smallholder farmers, and creating around 60,000 private sector jobs. By mitigating investment risks, the fund aims to stimulate the provision of hundreds of millions of dollars in commercial financing.

While famine in parts of the Horn of Africa was prevented this year due to better-than-expected rainfall, approximately 60 million people in seven East African nations continue to experience food insecurity. In West Africa, millions have faced food shortages exacerbated by climate-related disasters, the COVID-19 pandemic, and high food prices.

USAID Administrator Samantha Power emphasized the critical role of smaller agribusinesses, stating that they play a vital role in supporting smallholder farmers and alleviating hunger and poverty. Connecting these businesses to resources such as quality seeds, fertilizer, markets, and processors can enable agricultural growth necessary for combating food insecurity and poverty in Africa. Photo by USAID in Africa, Wikimedia commons.