Small logo Subscribe to leading news on impact investing. Learn More
The Brief Originals Dealflow Signals The Impact Alpha Impact Voices Podcasts Agents of Impact Open
What's Next Capital on the Frontier Measure Better Investing in Racial Equity Beyond Trade-offs Impact en las Americas New Revivalists
Local and Inclusive Climate Finance Catalytic Capital Frontier Finance Best Practices Geographies
Slack Agent of Impact Calls Events Contribute
The Archive ImpactSpace The Accelerator Selection Tool Network Map
About Us FAQ Calendar Pricing and Payment Policy Privacy Policy Terms of Service Agreement Contact Us
Locavesting Entrepreneurship Gender Smart Return on Inclusion Good Jobs Creative economy Opportunity Zones Investing in place Housing New Schooled Well Being People on the Move Faith and investing Inclusive Fintech
Clean Energy Farmer Finance Soil Wealth Conservation Finance Financing Fish
Innovative Finance
Personal Finance Impact Management
Africa Asia Europe Latin America Middle East Oceania/Australia China Canada India United Kingdom United States
Subscribe Log In

USAID backs Food Securities Fund with $37.5 million guarantee

ImpactAlpha, October 22 – Luxembourg-based Food Securities Fund is a blended finance initiative from investment advisory firm Clarmondial. The fund offers affordable lines of credit to agricultural producers in emerging markets in order to cultivate sustainable agricultural practices. A USAID guarantee is meant to de-risk the fund’s target $150 million portfolio.

The Food Securities Fund was launched in 2016 to link investors interested in sustainable agriculture to “stakeholders working with smallholder farmers to promote rural economic development, food security and climate smart agriculture.” It is structured as an open-ended, fixed-income fund, while providing agricultural producers season-long loans.

Small agri-businesses in emerging markets often have access to limited, high-cost and inflexible kinds of capital, like pre-planting credit to purchase inputs for the season.

Clarmondial has not yet announced any investor commitments or how much capital has been raised, beyond USAID’s guarantee. Blended finance platform Convergence and European climate innovation initiative Climate-KIC have supported the fund’s development.

You might also like...