The African Development Bank Group (AfDB) has approved US$30.25mn in funding for a major new project aimed at protecting Benin’s agriculture sector from the effects of climate change
The initiative will focus on building climate resilience and food security, especially for farmers in the country’s northern regions.
The project is set to benefit 150,000 smallholder farmers, most of whom are in the departments of Alibori and Atakora. These areas are particularly vulnerable to climate shocks such as droughts and floods, and suffer higher levels of food insecurity than the national average. In addition to climate threats, these regions are affected by instability in the Sahel, with issues such as forced displacement and border closures with Niger adding to the pressure.
With climate models predicting a 22% drop in cotton production and a 6.3% decrease in maize yields, economic losses could reach up to 201 billion CFA francs. This programme aims to prevent such losses by introducing a range of innovative solutions.
A key part of the project is the introduction of climate risk insurance. This includes sovereign insurance through the African Risk Capacity and micro-insurance for small farmers. These tools will help improve access to credit by making farmers more attractive to financial institutions.
The initiative will also support the government of Benin’s ongoing efforts to roll out agricultural insurance, currently in the pilot phase through the National Fund for Agricultural Development (FNDA). Additionally, the project will boost early warning systems, strengthen disaster management at the local level, and promote climate-smart farming practices.
The programme ensures inclusive participation, aiming for at least 30% involvement from women and 30% from young people. It also includes social cohesion activities to help host communities integrate displaced populations peacefully.
The funding comes from several sources: US$20mn from the Transition Support Facility, $5 million from the African Development Fund, US$3mn from the ADRiFi multi-donor trust fund, and US$2.44mn from Benin’s own contribution towards insurance premiums.
The project is aligned with Benin’s National Development Plan (2018–2025) and its National Adaptation Plan (2022–2027). It is supported by global partners including the World Food Programme, the World Bank, and bilateral donors such as Switzerland and Luxembourg.
Robert Masumbuko, African Development Bank Country Representative in Benin said, "This investment represents our commitment to strengthening climate resilience in Benin's agricultural sector while responding to the urgent needs of vulnerable farming communities. By introducing innovative risk management tools and strengthening local capacities, we are helping farmers adapt to climate change while preventing conflicts and promoting social cohesion in fragile border areas."