Washington: The World Bank has reiterated its commitment to transforming agriculture into a viable business that generates jobs, income, and food security worldwide. World Bank Group President Ajay Banga made this announcement at the ‘AgriConnect Flagship Event’ during the 2025 Annual Meetings of the IMF/World Bank Group.
According to News Agency of Nigeria, Banga emphasized that agriculture has always been central to development. He noted the current challenge lies in not only growing more food but also converting this growth into a business that boosts incomes for smallholder farmers and enhances opportunities across entire economies. He highlighted that over the next 10 to 15 years, about 1.2 billion young people in developing countries will come of age, but current trends suggest only 400 million jobs will be created. This gap could lead to global economic contributions or unrest and migration, underscoring the World Bank Group’s focus on job creation as a central mission.
Banga explained that while jobs ultimately originate from the private sector, they do not begin there. He described a progression where initially, the public sector drives job creation, but over time, private capital and entrepreneurship take the lead. The World Bank’s three-pillar strategy reflects this arc: building infrastructure and skills, creating predictable regulations and a business-friendly environment, and backing investors with risk tools to attract capital. He identified potential in sectors such as infrastructure, agribusiness, healthcare, tourism, and value-added manufacturing, with a particular focus on agribusiness due to its dual role in job creation and meeting the rising global food demand.
Banga pointed out that emerging markets are central to achieving these objectives, as they possess essential resources such as land, sun, water, and people. He cited Africa, which holds 60% of the world’s uncultivated arable land and can improve yields on already farmed land. Latin America produces enough food for over a billion people, but faces infrastructure challenges. In Asia, smallholder farmers manage most farmland, providing a significant base to uplift with better technology, finance, and market access.
Globally, 500 million smallholders produce 80% of the world’s food, but many remain stuck in subsistence farming without electricity, storage, training, or market access. Fewer than one in ten have access to commercial finance. Banga emphasized that while the opportunity has existed for decades, what is changing is the ability to organize at scale to influence the future of food security, nutrition, growth, and employment.
In 2024, the World Bank Group began implementing a strategy acknowledging this reality by helping smallholders increase productivity and scale. The strategy also aims to connect them to structured value chains that enhance incomes and protect against exploitation, preventing farmers from having to sell land due to lack of credit, insurance, or market access. Furthermore, the World Bank has set a target to double its agribusiness commitments to nine billion dollars annually by 2030, with the goal of mobilizing an additional five billion dollars. This plan is based on field-tested strategies and lessons from others.
Banga concluded by emphasizing the focus on small farmers who lack access to inputs, credit, advice, or reliable buyers.
