Amman: The Food and Agriculture Organization of the United Nations (FAO) and the Agricultural Credit Corporation (ACC) today signed a cooperation agreement aimed at strengthening their partnership to support the development of innovative and sustainable financing mechanisms that contribute to enhancing Jordan's agrifood system.
According to Jordan News Agency, the agreement is signed under the framework of the project "Local financing solutions to support Jordan's agrifood system transformation," funded by the Joint SDG Fund. The agreement represents a key step in ongoing efforts to improve access to more sustainable sources of finance for farmers, agricultural enterprises, and rural communities across Jordan through the development of a blended finance mechanism based on mobilizing multiple sources of funding.
Working alongside national partners, FAO is designing and operating this innovative financial mechanism to improve access to financial services and strengthen the agricultural sector's resilience to growing economic and climate-related challenges.
The Agricultural Credit Corporation is a key partner in this initiative, given its extensive experience in agricultural finance and its commitment to supporting smallholder farmers. The two parties have also successfully established a technical committee and laid the institutional foundations necessary to implement the blended finance mechanism efficiently and effectively.
The agreement aims to enhance access for smallholder farmers, women, youth, and small and medium-sized agricultural enterprises to the financial tools and opportunities needed to develop their businesses, increase productivity, and strengthen their capacity to adapt to economic and climate-related changes.
Paul Opio, FAO Representative a.i. in Jordan, said: "This agreement marks an important step toward expanding access to sustainable and inclusive finance in Jordan's agricultural sector. Through our partnership with the Agricultural Credit Corporation, we seek to empower smallholder farmers, women, youth, and small and medium-sized agricultural enterprises to access the financial tools they need to grow and adapt to economic and climate challenges. We are confident that this partnership will generate tangible and lasting impact in support of agricultural development and food security in Jordan." Mohammad Dojan, Director General of the Agricultural Credit Corporation, said: "This agreement reflects our shared commitment to developing innovative financing solutions that support the growth of the agricultural sector and strengthen its contribution to sustainable development. Through our collaboration with FAO, we will work to expand opportunities for farmers and agricultural enterprises to access the finance they need to invest and grow, thereby contributing to enhanced food security and improved livelihoods in rural communities." Both parties emphasized that this agreement serves as a model for effective collaboration between national institutions and international organizations, contributing to tangible and sustainable development impacts that support the growth of the agricultural sector and reinforce food security and rural development in Jordan.