This gap leaves millions unable to invest in better seeds, irrigation, or
Desmond Koney, CEO of Accra-based agritech firm Complete Farmer, highlights how reliable farm data can transform access to credit for smallholder farmers across Africa. Speaking from Ghana, he explains that despite agriculture employing over half the continent’s workforce and contributing about 17% to GDP, the sector remains severely underfinanced due to lack of verifiable information that lenders require. Koney argues that traditional lending models fail African farmers because they rely on collateral and credit histories most smallholders do not possess. Without data on crop yields, soil health, planting patterns, or harvest volumes, banks perceive agricultural loans as too risky.
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OneSpan Unveils New e‑Signature Features Including Identity Wallets and AI Workflow SupportThis gap leaves millions unable to invest in better seeds, irrigation, or equipment, trapping them in low-productivity cycles. How Farm Data Builds Lender Confidence Complete Farmer collects and verifies data directly from farms using mobile technology and field agents, creating digital profiles that include plot size, crop type, input usage, and expected yields. This information is shared with financial institutions through secure platforms, allowing lenders to assess risk based on actual farm performance rather than guesswork. Koney says this shift enables tailored loan products with fairer terms, turning data into a bridge between farmers and capital. Can Data Alone Solve Africa’s Farming Finance Gap? While data is essential, Koney acknowledges it is not a standalone solution. He stresses that success also depends on supportive policies, affordable internet access in rural areas, and training for farmers to use digital tools effectively.
Partnerships between agritechs, banks, governments
Partnerships between agritechs, banks, governments, and development agencies are crucial to scale these models sustainably. Without such collaboration, even the best data systems may fail to reach the most isolated farmers. Frequently Asked Questions How does Complete Farmer ensure the accuracy of the farm data it collects? The company uses trained field agents to verify information on-site and cross-references data with satellite imagery and mobile reports from farmers, reducing errors and building trust with lenders. What types of loans are becoming available to farmers through this data-driven approach? Farmers are accessing seasonal input loans, equipment financing, and post-harvest storage loans, with terms adjusted to farming cycles and based on verified yield projections rather than arbitrary credit scores. Why have banks historically avoided lending to African smallholder farmers?
Banks cite lack of collateral, informal land tenure, and absence of financial records as key risks, making it difficult to assess creditworthiness using conventional lending criteria applied in other sectors.
