The International Fund for Agricultural Development (IFAD) is an international financial institution and a specialised agency of the United Nations that addresses poverty and hunger in rural areas of developing countries. IFAD was formed in 1977 and its headquarters is located in Italy. It has 177 member states and works in partnership with the Organisation of the Petroleum Exporting Countries (OPEC) and members of the Organisation for Economic Co-operation and Development (OECD).
·It funds and sponsors initiatives that improve land and water management
·Develop rural infrastructure
·Train in technologies, build up resilience against climate change, enhancing market accessibility.
In its recent report, IFAD has reported:
·Small scale farmers - having less than 5 hectares of land – represent 95% of world’s farmers and hold 20% of world’s land
·They face disadvantages due to lack of governmental funds
·Financial markets are not providing for their needs
·There is limited capital
·IFAD recommended collaboration of public and private sectors to invest in agriculture
·Loans at subsidised rate must be provided for ‘smart’ agriculture
·There is a need for ‘climate smart’ agriculture practices