![Absa’s Young Africa Works project is planting seeds of change and transforming farming](http://ghheadlines.com/images/default.png)
A wave of agricultural transformation and impact is sweeping through Ghana’s Upper West Region, driven by the Absa Young Africa Works project. This initiative, a collaboration between Absa Bank Ghana and the Mastercard Foundation, aims to empower local farmers and entrepreneurs, driving economic growth and creating sustainable livelihoods.
During a media visit to the project sites earlier this week, William Brandford Nettey, Head of Agribusiness at Absa Bank, explained the project’s origins and objectives. “The Absa Young Africa Works Project was launched three years ago to support agribusinesses, especially those led by women and young entrepreneurs, including FinTechs. We partnered with the Mastercard Foundation to address the challenges of high interest rates and lack of collateral, which were major barriers to accessing financing,” said William.
He highlighted the project’s success in reducing interest rates and its impact on businesses. “Initially, the uptake of loans was very low due to high interest rates of 40percent to 45percent. We realized this was not sustainable and worked with the Mastercard Foundation to reduce the interest rate to 10percent. This adjustment has been a game-changer, significantly increasing loan uptake and energizing various sectors,” he noted.
Awo Fields Ltd: Expanding Impact in Wa
One of the project’s standout beneficiaries is Awo Fields Ltd, led by Joy Okrah. “Before Absa’s support, we struggled to assist all the farmers, especially women and youth, who sought our help. With the project, we’ve increased our outgrowers by 300, with 65percent being women and youth. We’ve also expanded our own fields, producing maize, soybeans, groundnuts, rice, and sorghum,” said Joy.
She emphasized the impact of the subsidized interest rate on their operations. “The 10percent interest rate has given us the financial breathing room to operate without pressure. It has allowed us to employ more people, increase crop production, and support more farmers,” she added.
Awo Fields Ltd plans to ensure sustainability through innovative projects. Joy Okrah revealed, “We’re looking at dry season vegetable production using renewable energy. We’ll use solar-powered boreholes and drip irrigation. Our field will serve as a mentoring site for universities and agricultural institutions.”
- E. Farms: Growing and diversifying in Wa-Jirapa
Emmanuel Ahaa, CEO of A. E. Farms, shared his experience with the project. “The support from Absa Bank and Mastercard Foundation has been transformative for A. E. Farms. We were able to increase our acreage and diversify our crops, including introducing high-value crops like tomatoes and peppers. The lower interest rates made it possible for us to invest in better irrigation systems and farm machinery,” Emmanuel stated.
He further elaborated on the project’s impact on the community: “With the financial support, we’ve been able to employ more local youth, reducing unemployment in the area. We’ve also provided training for our workers on sustainable farming practices, which has led to better yields and higher quality produce.”
Amadong Wonderful Limited: Empowering Women in Lambusie
Chief Executive Officer of Amadong Wonderful Limited, Issifu Amadong Niyariyor, shared his transformative journey. “Initially, it was a sole proprietorship, but in 2021, we upgraded to a limited liability company. I heard about the Absa Young Africa Works Project and applied. Through this support, our company has been able to assist about 1,210 clients, 90percent of whom are women,” said Niyariyor.
He highlighted the substantial growth his clients have experienced: “Most of these women used to cultivate only one acre, but after receiving the funds, they can now cultivate three to five acres. The project has made a significant impact on both me and my clients. We’ve been able to buy assets and access better markets, which was previously challenging due to limited financial muscle.”
Mr. Niyariyor also shared how the project has expanded their staff capacity. “We started with just two employees, but now we have six staff members, with three men and three women. Most of the women produce sorghum, soybeans, and maize. The project has truly helped us thrive,” he said.
He urged young entrepreneurs to pursue agribusiness: “I advise all young entrepreneurs to take farming seriously as a viable business. Don’t give up, even when faced with challenges. With the right support, like the Absa Young Africa Works Project, success is achievable.”
Two women, including one visually impaired person, who were beneficiaries of Amadong’s smallholder support scheme spoke about the numerous benefits they have received under the scheme such as payment of school fees, and financially supporting their households when husbands were unable to do so.
Training and Capacity Building
The project also emphasizes training and capacity building. William Nettey reiterated, “We included training to develop the capacities of small businesses. We conducted field activities and in-class sessions to teach farmers how to improve their yields and farm sustainably. We’ve seen improvements in the lives of the people and the clients we work with.”
The impact of the project is evident in the increased confidence and success of the beneficiaries. “We’ve seen women at the forefront of businesses. One client, who started with a GHS 200,000 loan a few years ago, now receives up to 4 million Ghana cedis. The number of workers and the acreage they farm have increased significantly,” noted William.
Reflecting on the visit to the Upper West Region, Mr. Nettey expressed his admiration for the project’s success. “I’m impressed with the confidence and changes I’ve seen in the lives of the farmers. One woman mentioned that with the financing, she’s now able to get fuel for her motorbike to take her children to school. This project is making a real impact,” he remarked.
The project’s focus on women is considerable. As William explained, “Women are often disadvantaged and reluctant to take loans due to high interest rates. By providing affordable financing, we empower women to lead sustainable businesses, making them independent and driving economic growth.”
As the project continues, William is optimistic about its sustainability. “The levels people have been lifted to are significant. They’ve learned how to borrow, keep their books, and interact with financial institutions. We aim to engage more partners, whether from government, NGOs, or the private sector, to continue this impactful work,” he said.
The Absa Young Africa Works Project has made a tremendous impact in Ghana’s agribusiness sector, empowering women and young entrepreneurs to thrive and contribute to the nation’s economic growth.
The post Absa’s Young Africa Works project is planting seeds of change and transforming farming appeared first on The Business & Financial Times.
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