Dar es Salaam. The Tanzania Agricultural Development Bank has launched a new green financing strategy aimed at helping farmers and agribusinesses adapt to the growing effects of climate change through increased access to climate-resilient agricultural financing.
The Green Agri-Finance Strategy 2025–2027 seeks to support environmentally sustainable farming practices while strengthening food production, livelihoods and environmental protection across the country.
The initiative comes when many farmers in Tanzania continue to grapple with unpredictable rainfall, prolonged dry spells and floods that have disrupted agricultural production and reduced incomes.
Speaking during the launch, Minister of State in the Vice President’s Office (Union and Environment), Hamad Yussuf Masauni, said climate change remains a major threat to agriculture, food security, water resources and livelihoods.
He noted that financial institutions have a critical role to play in helping farmers adapt to changing climatic conditions.
“Sustainable agriculture and environmental protection must go hand in hand,” he said, adding that financial institutions have a responsibility to support investments that enable farmers to continue producing food while protecting the environment for future generations.
Mr Masauni commended TADB for integrating environmental sustainability into agricultural financing, saying the move supports government efforts to build a resilient and sustainable economy.
He also stressed the importance of collaboration among the government, banks, development partners, researchers, civil society organisations and the private sector in addressing climate financing challenges.
“Building a strong agriculture sector requires cooperation, practical solutions and sustainable financing,” he said.
TADB Managing Director Frank Nyabundege said the bank’s new strategy is intended to help farmers and agribusinesses sustain production despite increasing climate-related risks.
“As an agricultural development bank, we remain committed to supporting farmers and agribusinesses across the country. Through this strategy, we want to increase financing for projects that improve food production, protect the environment and improve people’s livelihoods,” he said.
Under the strategy, the bank plans to finance projects involving irrigation, renewable energy, water conservation, sustainable livestock keeping, fisheries and environmentally friendly farming technologies.
Agriculture remains the backbone of Tanzania’s economy, supporting millions of livelihoods, but warned that changing weather patterns continue to affect productivity in many regions.
Mr Nyabundege noted that the strategy builds on the bank’s decade-long experience in agricultural financing and responding to evolving needs within the sector.
According to him, TADB has disbursed more than Sh1.42 trillion in loans over the past 10 years, including about Sh67 billion directed towards projects linked to climate-related challenges.
The bank said the financing has benefited more than 2.6 million smallholder farmers and supported over 812 agribusinesses operating across various agricultural value chains.
Mr Nyabundege also acknowledged support from President Samia Suluhu Hassan’s administration in strengthening the bank’s operations and expanding financing to the agricultural sector.
He said partnerships would remain essential in ensuring successful implementation of the strategy.
“We will continue working closely with the government, development partners and other stakeholders to support programmes that help farmers cope with climate change,” he said.
