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Morocco Among Top 5 Countries Targeted by $132 Million Climate Fund
Marrakech – Morocco has been selected as one of the five priority countries for the second funding cycle of the Acumen Resilient Agriculture Fund (ARAF II), a $132 million venture capital fund aimed at strengthening climate resilience for small-scale farmers.
The fund will support innovative agricultural enterprises in Morocco, Côte d'Ivoire, Egypt, Ghana, Nigeria, and Uganda. The geographical distribution of financing will depend on the projects submitted to the fund, whose lifespan will cover 12 years with a six-year investment period.
ARAF II builds on the success of its predecessor and aims to generate a tangible impact on vulnerable communities while managing climate, financial, and social risks.
In Morocco, companies operating in the agricultural and para-agricultural sectors will be supported through three key thematic areas.
The fund intends to support the establishment of aggregation platforms by investing in companies offering combined solutions: climate-resistant inputs, affordable credits, training, and purchase agreements to guarantee income. Digitalization is also among the components of the financing program.
ARAF II will provide support to Moroccan companies developing ICT solutions to connect farmers with suppliers, provide weather information, training videos, and market price data.
The fund may also invest in structures offering innovative financial solutions, allowing access to affordable credit, savings products, and insurance (for weather, livestock, yields) to diversify the income of small farmers and strengthen their resilience.
By focusing on local businesses and digitalization of services, Morocco is strengthening its orientation toward sustainable, inclusive, and technologically connected agriculture.
By the end of the funding cycle, ARAF II aims to reach 19.85 million direct and indirect beneficiaries across the six target countries.
ARAF II is a blended finance venture capital fund focused on adaptation, which aims to strengthen the climate resilience of smallholder farmers and agricultural value chains.
Its objective is to promote increased productivity and food security in Africa by identifying and developing ecosystem-enabling enterprises that offer integrated solutions through innovative business models.
Read also: World Bank Releases $250 Million to Support Morocco's Agri-Food Systems Program Tags: agriculture in MoroccoClimate Resilience
