$15 million credit will boost investment and jobs in the sector
Washington, December 12, 2023 – The World Bank approved yesterday a new International Development Association (IDA) credit in the amount of US$15 million to improve the competitiveness and resilience of selected agri-food value chains in Djibouti.
The Djibouti Agri-Food Value Chain Development Project targets 1,500 agri-food investors, 30 percent of whom are women. The objective of the project is to help develop the agri-food sector all along the value chain, from producer to consumer. It will do this through a rural infrastructure program that includes the construction of boreholes, land clearing, and the building of access roads.
Additionally, the project will assist agri-food investors by helping them to formulate and implement business plans, provide them with capital endowment contributions and facilitate their access to commercial financing.
“The project reflects our support for Djibouti to promote inclusive private sector-led growth, job creation, and human capital development,” said Fatou Fall, World Bank Resident Representative in Djibouti. “It supports the necessary technological leapfrogging through knowledge transfer and training; encourages the financial inclusion of private investors and leverages private sector funding while contributing to locally grown and produced food consumption.”
The 5-year project aligns with the government's the National Development Plan (NDP) 2020-2024, Djibouti ICI, the National Program for Agricultural Investment and Nutritional Security (PNIASAN), and the National Pact on Food and Agriculture (PNAA).
“Djibouti's food security future lies in making its agri-food sector more efficient. That is why we are looking at new ways and unleashing the power of new technologies for smart agriculture. Our aim is to attract private investment all along the agri-food value chain, and generate new jobs for our youth,” said Ilyas Moussa Dawaleh, Minister of Economy and Finance, in charge of Industry in Djibouti.
The World Bank in Djibouti
The World Bank’s portfolio in Djibouti consists of 23 projects, worth a total of approximately US$487 million in IDA financing and trust funds. The portfolio focuses on education, health, social safety nets, energy, rural and urban development, modernizing public administration, digital development, strengthening governance and regional infrastructure, and on private sector development, with an emphasis on women and youth.