Rwanda reviews agricultural policy to develop access to insurance
The effects of climate change have increased the need for agriculture insurance.The Rwandan Ministry of Agriculture and Animal Resources (MINAGRI) is reviewing its agricultural policy to integrate agriculture and livestock insurance and improve access to finance for farmers.
The effects of climate change on the sector have increased the need for agriculture insurance, so that farmers can receive some compensation for crop damages caused by drought or floods.
The Minister of State for Agriculture, Tony Nsanganira, told The New Times that MINAGRI would work with the private sector to develop agricultural insurance, adding that the reviewed policy is due to be ready by end of the year.
He said that the institution is working on a policy that will introduce ways to help smallholder farmers to afford insurance premiums, which currently prevent many farmers from accessing insurance.
He added that MINAGRI will also focus on developing new products to cater for all farmers' needs:
"The available insurance products to farmers, called weather-based index, do not cover crop failure due to disease. These are new products that should be developed so that they can comprehensively help farmers."
Meanwhile, the Development Bank of Rwanda (BRD) will be setting up a Rwf80 billion (€90.3 million) loan facility to improve access to finance for farmers.
The institution made this announcement in Kigali, where over 250 agricultural experts from across the globe met this week to find ways to improve access to finance for farmers.