Scaling Solutions for Global Food Security: Remarks by World Bank Group President Ajay Banga
Ajay Banga, President of teh World Bank Group, recently outlined a strategy to bolster food security and economic opportunity in the developing world, speaking at the agriconnect: Farms, Firms, and Finance for Jobs event. His remarks centered on the immense, yet often untapped, potential within nations possessing the fundamental resources – land, sunlight, water, and a dedicated workforce.
Banga highlighted the significant agricultural capacity already present across the globe. Africa, he noted, holds 60% of the world’s uncultivated arable land and possesses opportunities to increase yields on existing farmland.Latin america currently produces enough food to feed over a billion people, though infrastructure limitations pose a challenge. in Asia, the vast majority of farmland is managed by smallholder farmers, representing a significant base for enhancement through enhanced technology, financial access, and market connections.
A key focus of the World Bank Group’s strategy is the empowerment of the 500 million smallholder farmers who currently produce 80% of the world’s food, yet largely operate at a subsistence level. These farmers frequently lack access to essential resources like electricity, storage facilities, training, and crucially, financial services – with fewer than one in ten having access to commercial finance.
The World Bank group initiated a new strategy last year to address these challenges, aiming to help smallholders increase productivity and scale their operations, connect them to stable value chains that improve incomes, and protect them from exploitative practices that can lead to land sales due to lack of credit or market access. This commitment is backed by a target to double agribusiness commitments to $9 billion annually by 2030, with the goal of mobilizing an additional $5 billion in investment.
Banga emphasized a pragmatic approach, advocating for “stealing shamelessly and sharing seamlessly” – learning from triumphant models and disseminating best practices. He identified foundational elements crucial for success: clear land tenure policies, robust seed and sanitary standards, and essential infrastructure like irrigation, rural roads, storage, and reliable power for cold chain logistics.
The strategy prioritizes supporting small farmers by connecting them to producer organizations – facilitated by governments, entrepreneurs, or private entities – that provide access to suppliers, insurance, buyers, and lenders. This creates a pathway for improved productivity,predictable market access,and ultimately,increased incomes. Resilience is being built into the system from the outset, through the use of heat-tolerant seeds, soil-specific fertilizers, efficient irrigation, and robust insurance and financing mechanisms.
Digital technology is positioned as a critical enabler, with examples like AI-powered tools on basic phones that can diagnose crop diseases, optimize fertilizer use, provide weather alerts, and facilitate secure payments. The resulting data trail can establish credit histories, lower the cost of capital, and attract further investment, creating a positive feedback loop.
Banga cited a successful implementation of this integrated approach in Uttar Pradesh, India, as proof of concept, demonstrating its viability and scalability. He concluded by stressing the necessity of coordinated efforts between governments, businesses, and development partners to replicate this success globally.
Watch the full event here: AgriConnect: Farms, Firms, and Finance for Jobs