Can agribusiness investments in fragile and conflict-affected states deliver commercial returns for investors as well as positive development impact? Together with the Commercial Agriculture for Smallholders and Agribusiness (CASA) Programme, KIT is working to find out.
Stimulating private investment in agribusiness in fragile states
KIT conducted the research for an audience of international investors, to show both what is known and what is not and to help identify models that work as a way of stimulating more private investment in this area.
After a scan of the market (players), desk research and expert interviews, KIT presented four examples of interesting investment models for investments in agribusinesses in fragile states. KIT authors commented on key constraints, success factors and the minimum investment criteria for such investments. Finally, KIT provided conclusions and recommendations for both investors and investor stakeholders.
The research indicates that investments with financial and impact results can be made in agribusiness, even in countries where circumstances are very difficult. Especially in fragile states, a need for finance is apparent, but financiers may be reluctant to invest in these volatile markets. In researching who is already there, what is working, what is needed and making recommendations to both donors and investors, we try to share knowledge and interest them to explore more options and collaborations.