Articles

Articles

Digital Finance and the Future of Farming

Digital Finance and the Future of Farming

Smallholder farmers face particularly difficult challenges, including extremely limited or a total absence of financial services. This lack of financing, paired with the low productivity that has historically affected the agriculture sector in many developing economies, creates an opportunity for innovation and the use of mobile technology to improve multiple components of the agricultural value chain, including but not limited to insurance (the topic of a recent Mondato Insight), inputs, mechanization, extension, aggregation and marketing. The mobile channel holds open the possibility not just of offering previously financially excluded farmers access to financial services (occasionally referred to as mAgriFin), but also of a revolution in the agricultural value chain that could have profound positive benefits for billions of base of the pyramid farmers and consumers.

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