Subsidized Impact Investing Funds: AgDevCo

This case study describes AgDevCo, a subsidized impact investor and project developer targeting early-stage small and medium agri-businesses in Sub Saharan Africa to improve food security, employment, and climate resilience for smallholder farmers.

• AgDevCo operates as a subsidized impact investor that utilizes concessional capital from donors, foundations, and private donations to deploy long-term capital and technical assistance ranging from USD 2 million to 10 million to create commercially viable businesses.
• In Zambia, AgDevCo invested in Saise Farming Enterprises Ltd (SFEL), the country's first commercial seed potato producer, reducing reliance on imports from South Africa. This was part of a broader strategy for Northern Zambia involving a USD 14 million injection that catalyzed USD 23 million in third-party investments for irrigation, power, and cold storage infrastructure.
• AgDevCo's funding is primarily provided by the UK Foreign, Commonwealth and Development Office (FCDO)-Africa Division, which has disbursed 90% of a total committed expenditure of GBP 154,211,173. By 2019, the organization showed a shift toward non-conventional development sources, with private funding making up 53% of total leveraged capital and Development Finance Institutions (DFIs) providing 47%.
• The success of commercial agri-businesses depends on smallholder demand and a robust project pipeline supported by a strong policy environment and climate risk analytics. Potential for expansion is noted in Burundi, Somalia, Chad, and Niger due to high agricultural employment rates (all above 70%), though policy environments in these areas may be challenging.

APA

Climate Policy Initiative (2021). Subsidized Impact Investing Funds: AgDevCo. https://www.climatepolicyinitiative.org/gca-africa-adaptation-finance/case_studies/subsidized-impact-investing-funds-agdevco-2/

Chicago

Climate Policy Initiative. Subsidized Impact Investing Funds: AgDevCo. 2021. https://www.climatepolicyinitiative.org/gca-africa-adaptation-finance/case_studies/subsidized-impact-investing-funds-agdevco-2/.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=Subsidized Impact Investing Funds: AgDevCo |date=16 September 2021 |url=https://www.climatepolicyinitiative.org/gca-africa-adaptation-finance/case_studies/subsidized-impact-investing-funds-agdevco-2/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2021subsidized, author = {{Climate Policy Initiative}}, title = {{Subsidized Impact Investing Funds: AgDevCo}}, institution = {Climate Policy Initiative}, year = {2021}, month = sep, url = {https://www.climatepolicyinitiative.org/gca-africa-adaptation-finance/case_studies/subsidized-impact-investing-funds-agdevco-2/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }