The International Fund for Agricultural Development (IFAD) and Myanmar signed a financing agreement to support farmers in Kayin and Shan states in Myanmar

The International Fund for Agricultural Development (IFAD) and Myanmar signed a financing agreement to improve incomes for 62,400 poor rural households who depend on smallholder agriculture, agro-forestry, or rural wage labour in Kayin and Shan states.

The agreement for the Eastern States Agribusiness Project was signed by Gilbert F Houngbo, IFAD President, and U Myint Naung, Myanmar ambassador to Italy.

The total cost of the project is US$65.2 million including a $56.7 million loan and $1.5 million grant from IFAD. The remaining funds will come from Nay Pyi Taw and private businesses, as well as beneficiaries themselves. The project aims to assist poor farmers to improve their production and links to agribusinesses, while helping agro-forestry households diversify their income and gain access to new markets. All project investments will be environmentally sustainable.

“The project will develop an inclusive, sustainable and scalable model for smallholder agriculture and community agro-forestry in the eastern states,” Omer Zafar from IFAD Myanmar commented.

“It will invest in land development and irrigation, and will provide access to information, technology and financial services. The project will also ensure that employment opportunities facilitate the economic integration of landless households, returning migrants, and displaced people,” he added.

Since 2014, IFAD has invested $77.7 million in two projects in the country, with a total cost of $93.0 million including co-financing, which are expected to reach over 100,000 households.

(The Myanmar Times: https://www.mmtimes.com/news/ifad-invests-652m-support-eastern-myanmar-farmers.html )

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