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.

The program is designed to increase climate lending by participating banks in Egypt, Mexico, the Philippines, and South Africa to 30 percent of their portfolios by 2030.

Through the investment, the partners aim to facilitate farmers’ ability to access much-needed financing to sustain their businesses using local currency.

Filipino households in the lower-income group, especially those in the rural areas of the country, are still struggling to save.

The global financial inclusion ranking of the Philippines slipped further this year despite improvements spurred by the government’s need to promote digital channels as part of its response to the COVID-19 pandemic.

UAH funding equivalent to EUR 20 million to be on-lent in local currency to small farmers and producers to support economic recovery during COVID-19 crisis.

"COVID-19 has underscored how important digital systems and contactless transactions are for economic resilience."

Latest data from the Bangko Sentral ng Pilipinas (BSP) showed cash remittances coursed through banks declined by 6.4 percent to $11.55 billion from January to May compared to $12.35 billion in the same period last year.

Moody’s said the fall in remittances could further widen the current account deficit of the Philippines and other countries.

This tie up highlights Western Union’s efforts to strengthen presence in the Philippines, which has been recognized as the fourth-largest remittance recipient country in 2019 according to the World Bank.