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IFC and Switzerland Partner to Help Develop Agricultural Capital Markets in Ukraine, Benefiting Small Farmers

Small farmers will have improved access to finance given a new endeavor that aims to boost capital markets development in Ukraine, enabling refinancing opportunities for creditors in agriculture. Launched by IFC, a member of the World Bank Group, this advisory project will be implemented in partnership with the Swiss Secretariat for Economic Affairs SECO.

As Ukraine opens up its land market this year, farmers will need more working capital to plant crops. To manage increased financing demands from farmers, creditors too will require new instruments. Against this backdrop, IFC—through its four-year Ukraine Agricultural Capital Markets Development Project—will work with the government to equip local financial institutions with necessary tools and knowledge. This will help them access capital market liquidity through financial securities backed by an innovative instrument called "crop receipts."