Creating an enabling policy environment for agricultural finance to support climate risk management in Uganda

Creating an enabling policy environment for agricultural finance to support climate risk management in Uganda

The impacts of climate hazards such as floods and droughts have significant consequences for the development of agricultural value chains. These impacts are critical in developing countries such as Uganda, which rely heavily on the agricultural sector to meet their economic and food security needs. Within agriculture, cereals such as rice are highly susceptible to climate hazards. Given that climate change projections for Uganda suggest that these hazards will become more frequent and intense, sustainable agricultural development will depend on how effectively various agricultural players manage climate risks. Consequently, climate risk management has a critical role to play in increasing agricultural production. Financial service providers can support value chain actors in adapting their activities in order to manage climate risks over time. Public policy must support private sector initiatives that strengthen climat risk management (CRM). Potential opportunities to enhance CRM exist, for example in ongoing public programs that promote agricultural finance – these can be improved by integrating investments in actions that facilitate climate adaptation by various actors along value chains. Resourcing, monitoring and evaluation of existing climate change adaptation-related programs is also necessary to identify opportunities to strengthen the role of financial service providers.

File Name: 64 Creating an enabling policy environment for agricultural finance.pdf
File Size: 1.49 MB
File Type: application/pdf
Created Date: 03-09-2016
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