IFC - International Finance Corporation

Published purpose

The project aims to improve sustainable rural growth for 7,500 farmers in the Mekong delta and Central Highlands of Vietnam. The project contributes to the Government of Vietnam's reform efforts in sustainable economic growth and works to increase competitiveness in the agriculture sector by engaging the private sector. The project focuses on: (i) increasing lending for agricultural activities by private sector banks to give farmers the means to invest in the most profitable seeds, techniques and storage equipment, and to give them the flexibility to wait for the ideal time to sell their goods at better prices; (ii) providing training to farmers to help them improve their agricultural practices, by diversifying their income streams, and improving their financial management, for example; and (iii) improving the handling and storage of crops by farmers, agribusinesses and warehouses to ensure the quality, quantity, and market value of the crops is maintained. The project makes a particular effort to ensure that women farmers have equitable access to financial services and training. Some project activities include: (i) advising up to five private sector banks already engaged in agricultural lending to help them increase their lending, develop appropriate financial products for selected markets, including tailored products for women farmers; (ii) providing training of trainers to 300 people (40 percent women) on how to change farming practices to mitigate risks such as climate, pests, price shock, and marketing; and (iii) supporting agribusinesses to undertake risk analysis of post-harvest losses in order to design tailored solutions for farmers, and training 200 trainers to deliver training on these solutions to farmer groups.