C#4 – Up-grading Rural Development Bank and Credit to Farmer Organization

The Rural Development Bank is a public bank established in 1998, with the objective to take part in the financing of the agriculture sector and rural activities and doing so contribute to poverty reduction. In 2011, the « Agence Française de Développement » has financed a diagnostic of the Rural Development Bank in order to identify potential improvements regarding the bank management, procedures and tools, which served as a basis to mobilize the support of SCCRP project for further support to RDB reforms.

Meanwhile, the Ministry of Economy and Finances has expressed a strong will of up-grading the Rural Development Bank which materialized in significant changes in the Bank management and governance, and injection of additional capital. Additional Technical Assistance to RDB provided by the project has yield in numerous improvements in bank internal policies and procedures, tools, and alignment with common international standards for banking, which are expected to open the door to new refinancing opportunities for RDB, and thereof to an up-scaling of its credit activities for the agricultural sector.

Hence, the involvement of the bank in the rice sector has been consolidated in the last two years.

In parallel, and in relation with other activities of the SCCRP project focusing on Farmer Organizations’ commercial involvement in paddy trading, new financial products dedicated to finance Farmer Organizations commercial activities have been developed, validated, and started to be operational in 2016.

C#4 Documents/Resources

Rural development bank and credit to FO