Support to Investment
Strengthen the links between policy and investment.
Since 1964, FAO has helped mobilize over USD 120 billion in agricultural investment. To achieve this, FAO works in partnership with governments and over 30 financing institutions and banks.FAO supports governments by providing technical advice, economic analysis, public-private dialogue and capacity building to improve investments. This work promotes sustainable agriculture, rural development, food security and improved nutrition.
Through the Committee on World Food Security, FAO has brokered international guidelines to ensure that large foreign and domestic investment benefits local communities and respects tenure rights. FAO emphasizes the importance of small-scale producer’s investment and advocates for social protection and improving rural infrastructure as well as providing incentives to invest.
Key messages
Agriculture and rural development policy frameworks must attract investment in order to turn policy goals into practice.
This includes not only the ministry of agriculture but also those for economic planning, trade, education, social affairs, health, energy and rural electrification, transport and the environment.
Government and donor policies must support these groups by addressing barriers to savings and investment; facilitating access to technology, markets and financial services; strengthening equitable land tenure; improving rural infrastructure and public services; and reducing vulnerability to risks.
It is essential that policymakers and investors adopt the guidance and good practices in the Principles for Responsible Investment in Agriculture and Food Systems (CFS-RAI) and the Voluntary Guidelines for the Responsible Governance of Tenure (VGGT).
The Addis Ababa Action Agenda (AAAA), agreed in July 2015 at the Financing for Development Conference, provides the financial framework to fulfill this Agenda. The Rome-based agencies (FAO, IFAD and WFP) have estimated that additional resources of USD 265 billion per year during 2016-2030 (i.e. 0.3% of the average projected world income for that period) are required to fund further investment in social protection and pro-poor investment in productive activities.