African Smallholder Farmers Get Insurance Payouts of U.S. $1.5 Million After Low Rainfall

African Smallholder Farmers Get Insurance Payouts of U.S. $1.5 Million After Low Rainfall

The pay-out enables nearly 30,000 farming households to cover immediate needs including the purchase of food and payment of children’s school fees
ROME, Italy
May 9, 2018



Poor rainfall in parts of Africa has triggered the largest insurance pay-out to date for vulnerable farmers under an innovative climate risk management scheme known as the R4 Rural Resilience Initiative (R4). Farmers participating in R4 – launched by the United Nations World Food Programme (WFP) and Oxfam America in 2011 – will receive insurance payments totalling US$ 1.5 million to compensate for weather-related crop losses in Ethiopia, Kenya, Malawi, Senegal and Zambia.

The pay-out enables nearly 30,000 farming households to cover immediate needs including the purchase of food and payment of children’s school fees. Many smallholders also invest a portion of the pay-out in seeds or fertilizers, or in starting small-scale family businesses.

Insurance is a central component of R4, providing smallholders with protection against extreme weather shocks linked to climate change. Insurance payments are based on an index of rainfall, vegetation or yield estimates determining the extent of the loss incurred by participating farmers. Compensation is paid if the index falls below a pre-determined threshold – in this most recent instance, it was because of drought during the growing seasons in the five countries.

“In Malawi, more than 7,000 drought-affected families will receive an insurance payment worth US$ 400,000. This is the first time that a weather index insurance programme has delivered payouts at such a large scale in Malawi, “says Benoit Thiry, Country Director for WFP Malawi. “Insurance is a key element which complements other initiatives being undertaken to make people more resilient to weather-related shocks.”

R4 combines four inter-linked elements: improved natural resource management (risk reduction), insurance (risk transfer), the promotion of investment including better access to micro-credit (prudent risk taking) and savings (risk reserves). The initiative reaches over 57,000 farmers in Africa who are vulnerable to climate risk.  Since 2011, a total of more than US$2.4 million have been distributed in pay-outs to R4 participants in Ethiopia, Senegal, Kenya, Zambia and Malawi as compensation for weather-related losses. The programme is supported by the governments of the United States, Switzerland, Flanders, the United Kingdom, France, the Republic of Korea, Canada and Sweden.


Distributed by APO Group 

Africa Innovation Summit II – Call for Application Launched across Africa for Innovations Addressing Continent’s Challenges

Africa Innovation Summit II – Call for Application Launched across Africa for Innovations Addressing Continent’s Challenges

KIGALI, Rwanda, March 13, 2018/ — The Africa Innovation Summit (AIS II), which will take place from 6-8 June 2018 in Kigali, Rwanda, under the esteemed patronage of His Excellences President Paul Kagame and Pedro Pires (ex-President of Cabo Verde), announced a call for applications to innovators across Africa whose solutions have the potential to solve the continent’s challenges.

The AIS II seeks innovative and disruptive solutions to the major challenges facing African countries, which include energy access, water, food insecurity, health systems, and governance. As a platform for multi-stakeholder dialogue and actions, AIS II will bring together people with the power to act, from all parts of the continent and elsewhere, including Heads of States and Governments, Ministers, corporates, innovators, investors, policy makers and academics, researchers, as well as policy, science and technology experts, with the aim of building robust ecosystems for innovation in Africa to ensure Africa’s structural transformation.

Dr. Olugbenga Adesida, co-Director of AIS, indicated that “AIS provides more than a robust and dynamic platform for multi-stakeholder dialogue, but rather a catalyst for “Made in Africa” innovations that are already addressing the challenges faced on the continent, but need assistance to take root and scale across the continent.”

The AIS has partnered with Enterpriseroom, a transformation consultancy specializing in starting, sustaining, and accelerating businesses, to drive the sourcing and selection of up to 50 Innovations across the continent, to be showcased at the Summit. The CEO of Entepriseroom, Tracey Webster, said “We are delighted to partner with the AIS and believe the innovations selected to be showcased at the Summit will have a unique opportunity to engage the right stakeholders when it comes to discussing and unlocking blockages in the eco-system that are preventing solutions from going to scale, or ideas being commercialized.” AIS firmly believes that the solutions are in Africa and innovators need to be at the table architecting a conducive environment for Innovation to thrive in Africa.

AIS is therefore calling all African innovators to apply for this unique opportunity. The innovators selected must meet the following criteria:

  • Know or have an innovative idea or solution that can drive positive change in Africa and;
  • The solution must be at a critical stage: either ready to commercialize or ready to scale.

The identified innovators will meet influential people, policy makers, and investors who are ready to discuss Africa’s development challenges and ways to solve them. They will also have the opportunity to interact with like-minded African innovators and change agents who are driving a new era of change in Africa.

Applications and additional information can be found on the AIS website: https://goo.gl/gYCCyq

Applications close Friday, 30 March 2018.

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