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Author: Sam Mendelson & Marcela Perez. In 2021, the WASH Action Group - co-led by e-MFP and Aqua for All - set out to address a structural problem in the sector: while WASH finance was expanding, impact measurement was not keeping pace. Across the ecosystem, financial institutions, investors, and enterprises were being asked to report similar outcomes using different indicators, definitions, and formats. This fragmentation made comparison difficult, increased reporting burden, and limited the ability of investors to interpret results across portfolios. At the same time, this constrained learning and weakened the case for scaling investment.  For the past five years, the Action Group has been trying to address a major challenge: the absence of a shared, practical approach to measuring the impact of WASH finance: to support better WASH outcomes by making WASH finance more credible, more comparable, and easier to scale . A harmonised indicator framework is not an end in itself, but a necessary condition for achieving this. Without it, it becomes significantly harder to manage performance, identify trends, allocate capital effectively, or build confidence among decision-makers.     A phased approach   So, what has happened up to now? In 2023-24, an initial set of indicators was developed to capture the financial, social, climate, and service-level dimensions of WASH investments, followed by a feasibility assessment that examined how these indicators aligned with existing practices across asset managers, financial institutions, and SMEs. This earlier research highlighted persistent challenges, including inconsistent reporting requirements, limited data availability, and the operational difficulty of capturing more complex outcomes.   Building on these findings, Phase III - which has just wrapped up - focused on pilot testing the framework with financial service providers (FSPs) in real-world settings, and refining them iteratively based on feasibility and usefulness. Working with participating FSPs, indicators were integrated into operational workflows and tested through a combination of MIS-based reporting and targeted survey tools. The process was iterative: indicators were assessed against criteria such as clarity, feasibility, ease of adoption, data availability, and analytical relevance, and then retained, refined, merged, or dropped accordingly .   This iterative approach was essential. Earlier phases had already shown that some indicators - particularly those related to health outcomes or climate - are inherently more difficult to measure, often requiring primary data collection and additional resources. Others, particularly those integrated into routine MIS collection and reporting systems, are significantly easier to capture.   The result, produced with the invaluable support of Microsave Consulting (MSC) is a validated and field-tested framework, now presented in a new report entitled Unpacking Impact to Unlock Scale: Pilot Testing the WASH Impact Indicator Framework that reflects both the ambition of standardised impact measurement and the practical realities of implementation.  The output of this research has been not only the refined WASH impact indicator framework, but also an operational manual, providing clear definitions, data sources, and reporting guidance on all 11 indicators and 44 sub-indicators, and standardised data collection tools and templates.  The indicator framework and associated tools were launched at a webinar on February 11th , and now the WASH AG must turn attention to the next important objective - adoption and use of these indicators, and development of a harmonised data collection framework for WASH finance.    So what comes next? From framework to real-world adoption  Achieving meaningful scale will require buy-in from investors, asset managers, and other ecosystem actors who shape reporting expectations and capital flows. If widely adopted, a shared approach to WASH impact measurement has the potential to reduce reporting fatigue for investees while improving transparency and comparability for investors. More importantly, it can help shift the framework from a tool used by a small number of institutions to a common language for the sector.   The next phase of work will focus on operationalising data collection and reporting at scale . The Action Group will convene an online roundtable on May 20th of WASH investors and investees to demonstrate data submission processes and explore the value proposition of standardising WASH impact data - particularly through integration with the ATLAS data platform . This will be a chance not just to demonstrate this process using real but anonymised data collected during Phase III, but a chance to hear from these participants about their pain points, capacity and priorities. We are currently having discussions with relevant stakeholders in advance of this meeting, to gather feedback, address practical considerations, and shape how this next phase is implemented.  e-MFP and Aqua for All are proud of what this AG has achieved so far, and are looking forward to taking this from framework to practice. If you would like to discuss the indicators, the round-table, WASH finance generally, or if you wish to support this work (including via funding the AG generally or any specific project in particular), please get in touch with the co-heads Sam ( smendelson@e-mfp.eu ) and Marcela ( m.perez@aquaforall.org ).  Photo credit: Masudar Rahman via pexels About the Authors: Sam Mendelson & Marcela Perez are the co-heads of the WASH Action Group.

Author: Tim Nourse, Making Cents International. On March 16 th , e-MFP was pleased to open applications for the Luxembourg Award for Inclusive Finance (LAIF) 2026 (formerly the European Microfinance Award), on the topic of ‘Unlocking Youth-Inclusive Finance’. This 17th edition of the Award, launched in 2005 by the Luxembourg Ministry of Foreign and European Affairs, Defence, Development Cooperation and Foreign Trade, is jointly organised by the Ministry, e-MFP, and the Inclusive Finance Network Luxembourg (InFiNe.lu), in cooperation with the European Investment Bank. The first prize is EUR100,000, with EUR10,000 – and lots of positive exposure – to the runners-up. Kicking off e-MFP’s annual series of guest blogs on this topic, Tim Nourse, President & CEO of Making Cents International, which is supporting the e-MFP Award team, describes what the inclusive finance community has learned from over fifteen years of initiatives, what gaps remain, and what the evaluation teams are hoping to learn from the Award entries.  When I joined Making Cents International almost fifteen years ago, the coming “youth bulge” was all over the airwaves. Could developing countries achieve the “demographic dividend” of accelerated economic growth by leveraging the potential of their large youth populations? Or would this opportunity be wasted in a demographic “bomb” of instability and further poverty? Access to finance was seen as critical to facilitating the dividend, and with funding from the Mastercard Foundation, CGAP, and USAID, Making Cents and others began initiatives and research to unlock finance for youth. Since then, the inclusive finance community has learned the fundamentals of youth finance and achieved key successes. Nonetheless, gaps remain that continue to inhibit youth access to important financial products and services. The First Steps of Youth-Inclusive Finance Our initial work focused on the basics: what is youth demand for finance, who is meeting these demands, and how are institutions serving young people? From there, activities deepened to explore youth-inclusive finance within larger ‘ecosystem’ approaches, the role of non-financial services in encouraging uptake, and how to leverage technology for greater outreach. Through these collective efforts, we learned five key lessons [1] : Youth demand for financial services changes over time.  Youth is a transitory stage – from child to adult, learner to doer, dependent to contributor – and youth demand for financial services naturally changes accordingly. When they are in school, opportunities to save and experiment with borrowing are necessary; as they begin a business or first job, loans and payment solutions become more important; and as they mature and start a household, longer-term debt and investment products become paramount. To reflect this transition, youth finance must meet youth where they are and evolve with them. There is a business case, but it depends on for whom. Quantitative research has confirmed that financial institutions can serve youth profitably, but the business case is strongest for “near adults” - youth aged 25-35 who are already established and mimic the characteristics of other adults. [2] For younger youth populations, the case is weaker, but it still exists if institutions exploit cross-selling, leverage brand loyalty, and factor in the lifetime value of customers. Understanding each institution’s specific situation and business case is thus a necessary first step to determine which segment they can serve, and how. Successful products are designed for specific youth . While we talk about “youth” as a homogeneous group, their demand profiles differ depending on whether they are urban, rural, male, female, on the move, or have started a family. Designing tailored products for these specific sub-segments of youth is critical to successful delivery and uptake by young people. Youth develop in a system; products should be considered in them as well. Positive Youth Development frameworks have shown that youth develop best when engaged directly and in a supportive environment of parents/families, mentors, and community members. Market system approaches recognise that successful service delivery is dependent on identifying and addressing challenges at the enabling environment, supply, and demand levels. Successful youth finance initiatives take both frameworks into account as part of their design and delivery process to ensure they meet the needs of youth and the market in a holistic manner. Non-financial services are critical. Throughout this period, youth are developing financial knowledge, attitudes, and behaviours. Responsible institutions recognise that providing (or partnering to deliver) non-financial services to build knowledge, support healthy attitudes, and encourage positive financial behaviours is important from both a consumer protection and product success perspective. Milestones Achieved These lessons have moved the needle on youth finance. According to the World Bank’s Findex, since 2011, account ownership among youth worldwide has increased significantly, from 37% to 69%. While this remains lower than that of adults, the gap in access between them has decreased from 19% to 12%. In lower middle-income countries (LMIC), the gap is even lower - only 8%. This difference in ownership is largely driven by formal financial institutions, as mobile money accounts are generally used by the same proportion of youth and adults. Formal savings rates have also gone up significantly, more than doubling from 8.5% to 19% among youth in LMICs. The gap between youth and adults saving formally has also shrunk, from 4.5% to 1.5%. On the flip side, the area with the least progress for youth is formal lending, in which rates have increased by only 1% since 2011 and remain half that of adults. The Next Generation of Learning Topics These improvements are significant, but work remains to decrease these gaps further and truly support youth as they transition to adulthood.  What must we do to continue progress? Effectively leverage technology . The rise of mobile money and digital finance has been a major driver of increased access to finance for youth. Further leveraging technology to promote nano-lending, use data analytics for improved underwriting, and link youth to on-line education and training all promise to accelerate trends in youth financial inclusion. Go beyond “near adults” for lending. The gap in financial inclusion for youth remains largest in the area of lending, and youth consistently point to a lack of credit as a key impediment to their livelihoods. Cracking this nut will require further innovations around technology, partnerships, and financial capability building. Serve adolescent girls and young women effectively . Recent CGAP research has uncovered that gaps in financial access between girls and boys begin at age 17 and deepen through age 25 due to higher risk perceptions among girls, lower access to identification documents, and restrictive social norms. [3] Supporting adolescent girls with additional non-financial services to build financial capability or with tailored products to meet risk perceptions are avenues to explore more deeply. Provide services that “grow” with youth. While there are many examples of a single youth segment being served successfully, it’s rare that an institution or larger initiative “grows” services with youth, helping them to move from savings to borrowing or from consumer to enterprise credit. Taking a lifecycle approach to youth may provide insights that can unlock additional services for youth that will support their transition to productive livelihoods. Unlocking the Dividend Through Youth-Inclusive Finance Time is running short for countries to unlock their demographic dividend. The 2026 Luxembourg Award for Inclusive Finance offers our community an important opportunity to take stock of whether youth-inclusive finance has finally “come of age” and is able to effectively support young people as they transition to productive adults. I look forward to participating in the process, seeing what is being done today, and sharing progress that can finally bring this market to maturity. All relevant supporting materials, application guidelines, eligibility criteria and links to the application forms are available at www.inclusivefinanceaward.lu . Applications close on April 12 th at 23h59 CEST. About the Author: Tim Nourse is President & CEO of Making Cents International, and is supporting e-MFP in the design, delivery and evaluation of the Luxembourg Award for Inclusive Finance 2026.    ______ [1] More detail on these lessons can be found in: Y Initiative: Finance for Youth; a compendium of global good practices , FMO 2022 [2]   Building the Business Case for Youth Financial Services ;  UNCDF, 2015 [3]   Pathways to Financial Inclusion for Young Women: Opportunities for Financial Service Providers and Funders | CGAP Research & Publications ; 2026

Author: Audrey Joubert, Advans International. Across Africa, agriculture contributes 32 percent to Africa's GDP   and employs 65 percent of the labour force on the continent, according to the World Bank. That notwithstanding, the people who drive the sector, smallholder farmers, rural entrepreneurs, and cooperatives, are part of the most financially excluded communities on the continent. Data from the International Telecommunications Union  (ITU) shows that in 2024, internet usage in African urban areas reached 57 percent, but only 23 percent in rural areas, creating the largest urban-rural gap in the world. This limited connectivity, along with geographical isolation and low financial literacy, results in millions of farmers with little to no access to mainstream credit or financial services.   Without affordable and reliable credit, many farmers struggle to invest in irrigation, essential equipment, seeds and fertiliser. Persistent economic fluctuations, including inflation that raises the cost of inputs and volatile market prices for produce, further erode already thin margins. And where local processing and transformation capacity is limited, farmers are forced to sell raw commodities at lower prices, missing out on added value. Without adequate savings or insurance, a single flood, drought, or price shock can wipe out years of effort, fundamentally undermining both livelihoods and broader rural development across Africa.   To overcome this challenge, financial inclusion in rural areas must go beyond access to accounts or credit. It must focus on building resilience, and that’s where microfinance institutions are stepping in to reengineer the future of rural financial inclusion across the continent.   Designing the right approach: The case of Advans’ High-Tech, High-Touch Traditional banks have long struggled to serve rural populations because of high operational costs, isolated communities, and the informal nature of farming incomes. The rise of digital finance has not significantly changed the narrative, as few farmers still have reliable internet access. With a 26 percent increase in agricultural loans in just one year, Advans, a leading microfinance group active in several African countries, recognized this early on, and adopted a high-tech, high-touch approach in rural areas.   First, by partnering with cooperatives and village associations, Advans built a model rooted in proximity and in-person relationships, to inform, educate, and share risk. Technology was then introduced gradually to facilitate transactions and loan repayments, and to provide school loans. This expansion is driven by digital innovations tailored to rural realities. For instance, in Ghana, Mobibank, a USSD-based platform, has become the primary channel for rural loan repayment, allowing clients to transact without internet access. In Côte d’Ivoire, Advans Mobilité offers mobile banking features that enable farmers to check balances and manage finances through basic feature phones.   In rural Africa, cooperatives have proven to be the key intermediaries between microfinance institutions such as Advans and communities. In Côte d’Ivoire, for example, cocoa farmers can expand their plantations thanks to loans secured through their cooperatives and support from Advans Côte d’Ivoire. The story of Herve , one such farmer, illustrates how financial institutions can build with existing community groups.    “Through the 700 cooperatives and village associations (AVEC) we partner with, we reach and serve close to 40,000 farmers; not only in the cocoa value chain, but increasingly in other farming activities such as corn, pineapple, mango, and rice. We are also exploring additional value chains,” says Albert Dah, Agriculture Director at Advans Côte d’Ivoire.   The impact of such a collaborative approach is also evident in neighbouring Ghana, where Advans worked with women’s cooperatives in the shea butter value chain, offering both financing and financial education. In two years, more than 2,000 cooperative leaders have been trained in financial management and savings, leading their members to reinvest profits, strengthen their businesses, and gain greater financial independence.    A New Urgency: Climate Change and Agricultural Resilience The challenge of rural development is now inseparable from the challenge of climate change. Rising temperatures, unpredictable rainfall, and floods are disrupting production across the continent. In Côte d’Ivoire, the world’s largest cocoa producer, output for the 2024/25 farming season is estimated to have dropped to 1.7 metric tonnes due to heat stress, drought, and pests. In Tunisia, prolonged drought and water scarcity are threatening key crops such as olives and dates.   Climate change is not only an environmental threat, but it is a financial one. For farmers, it means unstable incomes and higher debt risks. For lenders, it demands new tools to secure both livelihoods and portfolios.   Microfinance institutions are emerging as vital drivers of climate resilience. Advans Tunisia, for instance, has developed an individual loan called “Crédit Saba” enabling smallholder farmers to borrow up to €13,000, with a flexible repayment plan adapted to the seasonality of their activities and their cash flows, as well as a grace period in case of an extreme climate event. As a result, more than one in two Tunisian clients say they feel more prepared for a future climate shock thanks to their loan from Advans, and 30 percent talk about purchasing and installing irrigation systems. 1 Agricultural finance now represents one-third of Advans Tunisia’s portfolio.   Advans Côte d’Ivoire takes a comprehensive approach to helping farmers adapt to climate risks. The institution has provided training to over 1,000 farmers on managing hazards, from diversifying crops to adopting agroforestry practices. One key initiative, the Agroforestry Credit program, offers loans through four partner cooperatives to fund agroforestry projects, The project is supported by AFD and benefits from technical assistance from the NGO AVSF.   In addition, farmers are gaining access to climate index insurance through a partnership with AssurTech OKO. Following a pilot phase that tested two distinct insurance models, the new solution now protects more than 800 producers through their respective cooperatives. Payouts are automatically triggered by low rainfall. The coverage period runs from October 2025 to March 2026, aligning with the seasonality of agricultural activity.   Building a Resilient Future for Rural Finance The lesson is clear. Africa’s agricultural growth requires a rethink and redesign of rural financial solutions to ensure access to financial services even in areas with limited connectivity. With a strategy rooted in local realities, Advans combines technology with proximity—whether through individual support in Tunisia or by leveraging cooperative and village association networks in Côte d’Ivoire.   Rural financial inclusion is advancing. Advans’ High-Tech, High-Touch  approach illustrates how to drive it forward, combining innovation, proximity, and partnerships to help farmers move toward a more resilient future.  ______ 1  60 Decibels survey conducted with 280 clients in Tunisia in 2024.   This blog was first published by Advans International. Photo credit: Advans International.   About the Author: Audrey Joubert is a Business Expert at Advans International, specializing in agrifinance, digital financial services, and deposit products. She supports Advans affiliates in defining their strategies and in the design and deployment of new projects. Prior to this role, Audrey spent three years as a Project Manager at Advans Côte d’Ivoire, where she notably contributed to a financial inclusion program within the cocoa value chain. She holds a Master’s degree from ESCP Europe.

Author: Caterina Giordano, Alterfin. In the last of our blog series to celebrate the International Year of Cooperatives taking place in 2025, Caterina Giordano of Alterfin reflects on three decades of cooperative finance rooted in people rather than profit. Drawing on its experience as a Belgian cooperative investor in sustainable family farming and microfinance, the post introduces the concept of “human yield” — a cooperative-driven approach to measuring impact that places dignity, resilience and lived outcomes at the heart of investment decisions. For over thirty years, Alterfin has demonstrated that finance can generate value beyond financial returns. Founded in Belgium in 1994, the cooperative invests in sustainable family farming and microfinance across Latin America, Africa and Asia, guided by a simple conviction: capital should serve people . Alterfin was created by Belgian NGOs and ethical banks who believed that finance could strengthen dignity, resilience and opportunity for those excluded from formal financial systems. Choosing the cooperative model was a deliberate act. Ownership, governance and purpose are aligned with long-term value creation rather than short-term profit maximisation. Today, nearly 6,000 cooperative members — citizens and institutions — invest not as donors, but as co-owners. Their capital supports organisations working with smallholder farmers and micro-entrepreneurs, reinforcing food security, local economies and long-term resilience where access to finance remains limited. Smallholder coffee producer, member of Casil cooperative in Peru - Alterfin's partner since 2006. Human yield: impact rooted in cooperative logic In 2025, the International Year of Cooperatives, Alterfin gives clearer expression to what has guided its work from the beginning: human yield . Human yield complements financial performance by focusing on what investment enables in people’s lives — income stability, resilience to shocks, empowerment and dignity. In a world where investment performance is often reduced to numbers, human yield invites a different question: what is the human return on my investment? Who benefits, and how? At Alterfin, this question guides us to reinterpret return itself as human yield because we want to understand and quantify our social impact. At the same time, as impact finance risks becoming increasingly standardised and metric-driven, human yield offers a way to reconnect investment decisions with lived realities – without sacrificing financial discipline. It goes beyond standard ESG metrics or portfolio-level impact indicators by grounding assessment in lived outcomes and the perspectives of farmers and entrepreneurs reached through Alterfin’s partners. This ensures that impact remains human, contextual and meaningful. This approach is inseparable from Alterfin’s cooperative structure. As a cooperative, Alterfin is guided by its members — not by external shareholders seeking short-term returns. Shared ownership also means shared responsibility: members help guide the cooperative’s direction through democratic governance, accept informed risk where impact is highest, and support patient, long-term investment. This alignment allows Alterfin to reinvest value into impact rather than extraction, maintain commitments through crises, and support organisations that may be smaller, earlier-stage or operating in fragile contexts — precisely where human outcomes matter most. Microentrepreneurs, clients of Chamroeun a microfinance institution in Cambodia - Alterfin's partner since 2014. Impact as a driver of better investment decisions Human yield is not a communication concept; it is a management tool. Alterfin has embedded impact studies into its investment cycle to test impact likelihood assumptions, understand how change occurs, and assess whether capital is being allocated where it can generate the greatest social value. We don’t ask superficial questions. We meet people in the field. We listen. We try to understand what has changed in their lives, and why. Nearly 1,000 farmers and entrepreneurs have been interviewed through these studies, providing insights that link household‑level outcomes with institutional and financial performance. These insights directly inform investment decisions, partner support and risk assessment. By linking qualitative outcomes at household level with institutional and financial performance, Alterfin strengthens its ability to invest responsibly over the long term — particularly in contexts exposed to economic, social and climate-related shocks. For cooperative members, this translates into greater transparency and accountability. Alongside financial results, members receive a Human Yield Statement  that connects their investment to concrete human outcomes. This allows members to see, in a personalized way, how their investment impacts human lives. Finance rooted in people After three decades, Alterfin’s founding intuition remains unchanged: sustainable finance must remain rooted in people’s realities. Human yield captures this commitment by affirming that solidarity through cooperative investment is not charity, but a driver of shared and durable progress . We can summarise this philosophy simply: finance is, above all, about investing in human beings — helping them move forward, seize opportunities, protect their families and build long‑term resilience. As Alterfin enters its fourth decade, human yield serves as both a measure and a compass — guiding capital toward organisations and communities that transform opportunity into resilience, dignity and long-term development. About the Author: Caterina Giordano is Chief Impact officer at Alterfin and has 20 years of experience in sustainable development and impact investing. She manages the impact department including steering of the global microfinance and sustainable agriculture portfolio at Alterfin; supervision of the Investment unit; management of the TA unit; management of the Environmental and Social Impact Unit; management of the portfolio analytics Unit and Marketing & Communication one. Caterina joined Alterfin in 2013 at first as Africa and then Asia Regional Manager, to become, in 2017, Head of Investments and in 2022 CIO. She started her career in microfinance with K-Rep Bank (Kenya) conducting an extensive survey to understand the Bank’s outreach and assess its mission drift risk. She spent 6 years in Kenya first managing an agri-financing project under an Italian NGO and then as Africa Regional Manager for Microfinanza Rating. In 2010, she finally joined the social investment sector. Prior to Alterfin, she worked for an Equity Investor and participated to the set-up of a microfinance institution in Zambia. She holds a master’s degree in economics of public Administration and International Administration at Bocconi University.

Author: Andrea Camargo, World Food Programme (WFP). On March 12th, e-MFP was pleased to launch the European Microfinance Award (EMA) 2025  on ‘Building Resilience through Inclusive Insurance’. This is the 16th edition of the Award, which was launched in 2005 by the Luxembourg Ministry of Foreign and European Affairs, Defence, Development Cooperation and Foreign Trade, and which is jointly organised by the Ministry, e-MFP, and the Inclusive Finance Network Luxembourg, in cooperation with the European Investment Bank. This year, e-MFP is also delighted to welcome as a strategic partner our friends at Microinsurance Network (MiN). In this 7 th  piece in a series of blogs that we’ll be running throughout the year on this topic, Andrea Camargo from the UN World Food Programme (WFP) explains why closing the crisis protection gap requires a full range of tools to building resilience, including cash transfers, livelihood development, and of course an integrated approach to inclusive insurance. In 2024, 343 million people faced acute hunger – 1.9 million of them in catastrophic conditions. With conflicts, climate extremes, and economic shocks on the rise, these numbers are likely to grow unless we adopt urgent actions, such as closing the crisis   protection gap . Without financial tools – including insurance – families are left vulnerable, unable to rebuild when disaster strikes. Inclusive risk financing instruments that are accessible, affordable, and tailored to the needs of underserved populations, can be critical to close this protection gap. Protecting Food Security and Strengthening Resilience Through Financial Inclusion In today’s world of cascading crises, building resilience isn’t optional – it’s essential. WFP, the world’s largest humanitarian organization, is addressing this challenge not only through food assistance but by empowering people to better withstand and recover from shocks – and central to this effort is a focus on financial inclusion , as a way to enhance livelihoods and empower millions of people, leveraging its food security programmes through:   Interventions unlocking access to inclusive financial services through humanitarian cash transfers or government-to-person payments (G2P): WFP is increasingly transferring funds directly into individuals’ digital financial accounts, connecting people to formal financial services, often for the first time, and advancing their digital financial inclusion . As the world’s largest provider of humanitarian cash transfers – disbursing US$2.2 billion to 47 million people across 75 countries in 2024 alone - WFP has significant potential to drive transformative change. By 2030, WFP aims to support 10 million women and their families through their own financial accounts . Interventions unlocking access to inclusive financial services through livelihoods and resilience programmes (non-cash transfer specific) : WFP promotes access to financial services such as credit, savings, and insurance as part of broader programmes promoting resilience and livelihoods, such as: * Smallholder Agricultural Market Support (SAMS)  programme, which is WFP’s value chain development approach aiming at improving the livelihoods of smallholder farmers, promoting local value chain development and strengthening the resilience of local food systems; * Inclusive Risk Financing (IRF) work , previously known as the R4 Rural Resilience Initiative (R4); * The Youth in Work (YIW) programme, which aims to strengthen youth and women’s jobs food systems to promote increased value chain employment opportunities for young people in vulnerable communities; * The SheCan  intervention, which aims to improve economic and income-generating opportunities for women and their communities by supporting their access to affordable micro-loans tailored to their needs and enhancing their financial capabilities through gender-sensitive financial education programmes.   Inclusive Risk Financing On Inclusive Risk Financing, over the past decade WFP has established itself as a global leader, reaching more than 10 million people with access to insurance, savings and credit to manage climate risks. This effort began with the R4 Rural Resilience Initiative  and has since evolved into a comprehensive IRF approach. This shift marks a move towards a more integrated strategy, drawing on past learnings to strengthen the sustainability and resilience of food systems in the face of increasing weather and economic shocks. In 2024 alone, over three million people in 16 countries were covered by WFP-supported inclusive insurance programmes, with more than US$248 million in financial protection [1] . When weather-related shocks struck, US$41 million in insurance payouts provided timely support to 1.5 million people—demonstrating the power of insurance to protect lives and livelihoods when it matters most. In addition to insurance, 320,000 people engaged in savings and loans activities, with 68 percent of them being women. Together, they saved a total of US$17 million and accessed loans worth US$10.2 million, reinforcing the role of integrated financial services in building long-term resilience and economic empowerment—especially for women.   More Than a Safety Net: Insurance Builds Long-Term Resilience These financial tools don’t just offer a safety net—they build a foundation for long-term resilience . For instance, a 2023 study of WFP’s R4 Rural Resilience Initiative  in Ethiopia, Kenya, Malawi, Senegal, and Zimbabwe carried out by TetraTech found that insured households were better equipped to cope during weather-related shocks. They were less likely to reduce food intake and more likely to recover quickly, invest in improved farming practices, and report higher food security. Insurance can foster resilience and restore confidence . In the highlands of Kyrgyz Republic , livestock herder Aijan Talantbek saw her hay harvest plummet due to shifting seasons. In 2023, a severe drought left pastures barren and reduced fodder supplies, leaving her and many pastoralist families with few resources to sustain their livestock through the harsh winter. Thanks to WFP’s climate risk insurance that empowers local governments to provide support to vulnerable pastoralists, nearly 800 families received over 26 metric tons of barley when the drought triggered an insurance payout. This in-kind assistance was vital in bridging the fodder gap and ensuring the survival of their animals during the winter months.  "Insurance is good,"  Aijan said. “ We would have spent money on barley, but instead, the programme triggered payouts that we received through barley distribution - which really helped.” WFP is now transitioning this programme in Kyrgyz Republic to a forecast-based model , releasing payouts before disasters strike. By promoting earlier action and increasing local government involvement, WFP is helping communities respond faster while supporting long-term sustainability.    Aijan Talantbek, beneficiary of the climate risk insurance programme in Kyrgyz Republic. ( WFP/Giulio D’Adamo) Scaling Resilience Through Integration Success lies not in standalone solutions, but in smart integration . WFP integrates insurance with complementary services—like savings, access to credit, financial education, improved agricultural practices and market access. This comprehensive approach enhances financial resilience and encourages broader adoption. In Guatemala , savings groups have played a vital role in raising awareness about insurance and improving the ability to pay for it. In just three years, the number of people contributing to insurance premiums rose from 1,600 to over 9,000, while average contributions more than doubled. These groups not only build trust and financial literacy around insurance, but also help participants save and grow their incomes – enhancing their capacity to afford and sustain such services. In Senegal , WFP worked with economic interest groups, including community-based cooperatives, often led by women. These groups distributed insurance, offered savings and loan options, and supported income-generating activities. As a result, the number of households paying insurance premiums with their own funds grew from 1,500 to nearly 28,000 in four years, accounting for 54 percent of all policyholders – a strong indicator of increasing trust, financial ownership, and sustainability.   Insurance Alone Isn’t Enough To Manage Weather Extremes      While insurance can be a vital lifeline, it must be part of a broader toolkit of risk management instruments. Different financial tools help manage different types of risk [2] and can reinforce resilience when brough together. Ana Paula Sequeles , a 44-year-old mother of five in Tete Province, Mozambique experienced this firsthand. After the El Niño-induced drought in 2024 destroyed her crops, Ana received an insurance payout of about US$25 that enabled her to buy seeds for the next planting season. Ana was also part of a WFP-supported savings and loans group, which helped her build emergency reserves and manage her money wisely. That savings cushion allowed her to buy food for her children and keep her small business afloat during a critical time. “Without this payout, we would have nothing to hope for, so we are very thankful,”  Ana says.   Ana Paula Sequeles , beneficiary of WFP’s Integrated Climate Risk Management programme. WFP/Ana Mato Hombre   Sustainability Through Strategic Partnerships and Integration With National Systems As weather extremes continue to threaten food systems and livelihoods, solutions like inclusive insurance must be scaled and sustained. But this will only work if they’re embedded within a larger ecosystem of financial services, risk management strategies, and government support. To truly make a lasting impact, insurance schemes must be designed for long-term viability. That means involving committed stakeholders, building strong public-private partnerships (PPPs), and ensuring clear strategies for eventually handing over ownership to local institutions. One key success factor is integrating inclusive insurance into existing national systems that promote resilience, productivity, or social protection. In Ethiopia , WFP jointly with Pula, took a market systems approach, fostering PPPs to boost both supply and demand for agricultural insurance. WFP supported the integration of insurance into the Government’s Input Voucher System (IVS). This move helped scale the programme from 20,000 farming households in 2022 to nearly 250,000 in 2024. By linking insurance to something farmers already value—input access—the programme tapped into real demand and ensured greater buy-in. For farmers like Yohannes Negash  in Ethiopia’s Amhara region, this shift has been life-changing. After enduring years of drought, locust infestations, and conflict, Yohannes enrolled in the insurance programme backed by WFP, the Ethiopian government, and local and international partners.  “ This insurance is a necessity,”  said Yohannes. “ Just as we have health insurance for our bodies, we need crop insurance for our farms. ” With US$675,000 in payouts delivered across the region, farmers like Yohannes are no longer just surviving—they're planning ahead and investing in a more secure future.   Yohannes Negash, insurance beneficiary in Ethiopia. ( WFP/Michael Tewelde)   A Path Forward: Resilience Through Inclusion WFP’s approach to inclusive risk financing goes beyond responding to crises—it empowers people to prepare for the unexpected, adapt to changing realities, and invest confidently in their futures. By combining insurance with savings, loans, financial education, and integration into broader services, WFP is advancing financial inclusion as a powerful driver of resilience—transforming humanitarian assistance into a foundation for long-term stability, empowerment, and dignity. In a world of increasing uncertainty, inclusive financial tools are no longer optional—they are essential for all. And WFP is making sure no one is left behind. ________   [1]   https://www.wfp.org/publications/disaster-risk-financing-annual-report [2]   For instance, insurance is a critical tool to manage severe and less frequent risks, whereas savings can be instrumental to build reserves enabling risk retention of more frequent and less severe risks. About the Author: Andrea Camargo is currently leading the Inclusive Risk Financing Portfolio at the World Food Programme (WFP). Born in Colombia, she is a qualified lawyer specialized in Insurance and International Law. Andrea has more than 20 years of experience in the insurance sector and 15 years of experience in the inclusive insurance and climate risk sector in more than 30 countries in Latin America, Europe, Africa and Asia.  She has supported international organizations, development agencies, governments, private sector entities, among others, proposing pioneering solutions that are legally viable, financially sustainable and above all offer adequate protection against risks to those who need it most.

Author: Sam Mendelson, e-MFP GLI Action Group Lead. Over the past decade, gender lens investing (GLI) has become a widely embraced concept across the development finance ecosystem. It has become embedded in global frameworks, supported by donor initiatives, and advanced through important coalitions and standards - from the   2X Criteria and Equilo’s diagnostics tools to the Women’s Empowerment Principles , Pro Mujer’s Gender Knowledge Lab ,  and the   Cerise+SPTF SPI5 Full framework . Yet for many of the financial service providers (FSPs), investors, and technical assistance organisations operating in inclusive finance (particularly at the field level) GLI remains a  conceptually resonant but practically elusive goal: what is it for, how is it achieved, and what is there to help explain it? In early 2025, after extensive consultations with members of the e-MFP GLI Action Group (GLI AG), the e-MFP Secretariat made the decision to amend the AG’s structure and plans. Under this new phase, e-MFP is leading a two-year, tightly scoped plan of activities (2025–2026) aimed at filling two of the most pressing and actionable gaps in GLI practic e: 1. The absence of a curated, user-friendly, filterable resource portal tailored to different stakeholder groups; and 2. The lack of visibility and peer sharing around how GLI is actually being implemented in practice. To develop the resource portal, which we have heard from members and stakeholders would be so valuable, we’re also thrilled to welcome the consultants who will be leading the first part of this work: Katie Tavenner and Carlos Quiros  of QLands , who will be supported during the mapping and engagement phase by Jenny Morgan , an extremely experienced gender finance consultant and facilitator (and former co-lead of FinEquity). The consultants, and Fernando Naranjo and I from e-MFP, are grateful to be supported by a fantastic seven-person Advisory Committee of Action Group  members. Why a Reboot — and Why Now? Members told us they didn’t want another generic library of tools. They wanted something smart and annotated with clear value-add: a portal that’s filterable by stakeholder type  (whether you’re an FSP, an investor, a market builder, or a TA provider); that helps you know which tools to use at what stage; that gives you real-world examples of how others have applied a gender lens - and what it meant in practice. We would like to move from information overload to curated guidance. A Curated Portal for Practical Application As I introduced above, the centrepiece of the GLI AG’s 2025 workplan is the GLI Resource Portal  - an online, filterable, evolving platform that allows stakeholders across the inclusive finance ecosystem to: Identify relevant tools tailored to their role, needs, and level of experience; Learn from real-world case studies of how others have applied GLI principles in practice; Access curated/annotated guidance materials  (not just every tool ever created); and Stay informed  about upcoming events, webinars, and peer-learning opportunities The portal will build on and connect to existing platforms or sites - among them 2X, FinEquity’s resource guide, the Pro Mujer Gender Knowledge Lab’s Gender Platform, CERISE+SPTF’s own GLI Working Group  - and many others. We want it to become a trusted one-stop-shop for busy practitioners looking to get oriented, go deeper, or implement something new. Telling the Story of Practice The second core activity is a lightweight content stream  to showcase what GLI looks like in practice—warts and all. Through short blogs, mini case studies, and occasional webinars, AG members will have the opportunity to share their experiences: how they’ve navigated leadership buy-in, used (or adapted) diagnostics tools, integrated sex-disaggregated data, or designed products with gender in mind. There is a clear appetite for this kind of content. Members have told us they want to hear from their peers and partners. They want to understand not just why GLI is important, but how it is implemented, measured, refined.  And they want to know what GLI looks like for institutions like theirs - working with limited budgets, diverse client groups, and under real operational constraints. This content will be published in part here on the e-MFP blog, but we will welcome and solicit case studies, interviews and other content that is core to this AG’s purpose. All contributions will be voluntary, and members can either propose content themselves or respond to direct outreach.    What Next? The mapping and resource tagging process has now begun, in advance of a meeting with the Advisory Committee in September to present some initial ideas and gather feedback. There will be a GLI AG session during e-MFP’s annual event in November where it’s anticipated an early mock-up of the Portal will be presented, and the consultants and certain AG members will be available to share progress and answer questions. It’s hoped that the Portal will be read for beta testing in late Q1 2026, and for final completion and launch in Q2. After this, the portal will benefit from regular dedicated maintenance and monitoring to ensure it remains updated and valuable.   How You Can Contribute If you are a member of e-MFP or involved in GLI work (however advanced or exploratory) we welcome your input. The design and refinement of this Portal will be collaborative, and we hope to benefit from e-MFP’s great network to optimise its value. To this end: Do you have a tool, diagnostic resource, or checklist that your team finds useful?  Feel free to share it for potential inclusion in the portal. Have you implemented a gender-smart intervention - whether successfully or not?  Please consider writing a short blog or case note to help others learn. Are you willing to contribute financially to support the portal in 2026? We are open to co-funding opportunities in exchange for branding visibility and thought leadership roles. You can reach out directly to fnaranjo@e-mfp.eu  or smendelson@e-mfp.eu  with ideas, questions, or expressions of interest. Thanks to everyone who has been involved in getting this process to where it is, and please get in touch if you have ideas or questions. Thank you! About the Author: Sam Mendelson  is Financial Inclusion Specialist at e-MFP and is the e-MFP lead for the Gender Lens Investing and WASH Action Groups.

Authors: Emmanuel Gagnerot & Adèle Voyeux, SIDI. In the eighth in our blog series to celebrate the International Year of Cooperatives, Emmanuel Gagnerot & Adèle Voyeux from International Solidarity for Development and Investment (SIDI) discuss the alliance between SIDI and Ethiquable, which promotes sustainable agriculture, agroecology, and the empowerment of local communities in various countries with low human development indices (HDI), as illustrated by the partnership with Apodip cooperative.   Since 1983, SIDI  (International Solidarity for Development and Investment) has been committed to building a fairer world by financing agricultural organisations in the most disadvantaged countries, thanks to its 2000 individual shareholders. In addition to commercial financing ranging from €200,000 to €2 million and via various instruments (debt issuance, equity participation, or guarantees), SIDI also provides technical assistance to rural organizations through grants or personalized coaching . With over 30 agricultural partner organisations, three-quarter of which are certified organic and/or fair trade, SIDI helps to transform the lives of thousands of smallholder family farmers across 17 countries in the Global South. Coffee cooperative in Rwanda (© Philippe Lissac – Agence Godong / SIDI) SIDI supports organic and/or fair-trade cooperatives, primarily in the export sectors (e.g. cocoa, cashew, coffee, etc.), by providing one-year working capital loans  (aligned with the agricultural season) and investment financing.  This financial and technical support helps cooperatives improve their professional development and enhance the services they offer to their members, especially when adopting agroecological and agroforestry practices. As an example of this, SIDI works with Ethiquable   (and Ethiquable ’s partner cooperative APODIP ) to providing financing and TA support: Building Innovative Strategic Partnerships – ETHIQUABLE SIDI has established a strategic partnership with the cooperative Ethiquable  which works with over 105 organic producer cooperatives around the world and distributes its products in more than 60 supermarkets across France. This collaboration began over 10 years ago, when SIDI was providing pre-financing services to small scale producer cooperatives partnered with ETHIQUABLE for their harvest campaign, in low-HDI countries such as Haiti, Madagascar, Ecuador and Peru. The innovative financial and solidarity-based partnership between  Ethiquable  and SIDI illustrates the ongoing commitment of both parties to sustainable agriculture, agroecology, and the empowerment of local communities. The purpose is t o build autonomous smallholder supply chains and strengthen the capacities of farmer organisations . The aim of this partnership is to enhance the financial and technical assistance support provided by SIDI to a larger number of local organic and fair-trade cooperatives, that produce cashew, cacao or coffee, while at the same time equally sharing the risk (50/50). As a result, SIDI offers cooperatives partnered with ETHIQUABLE a dedicated financing package (€1.2M in 2024 and €1.7M for 2025), along with streamlined evaluation processes, a dedicated investment committee as well as favourable loan conditions. Moreover, these small local producer organisations often need to strengthen their internal capacities, particularly in governance, financial management as well as their capacity to innovate in areas such as agroecology, climate resilience and traceability. Beyond technical and managerial skills, this partnership support also seeks to enhance the organisations’ negotiating power within the value chain and with local partners . Thus and in addition to financing, the partnership includes a Technical Assistance (TA) program led by SIDI, focused on strengthening the economic viability of producer organisations, a recurring challenge in the agricultural sector. This partnership is mutually beneficial: all three parties gain from it by sharing the risk. This collaboration secures the supply chain for Ethiquable  and its partner cooperatives, ensures that cooperatives in remote or low-HDI countries receive financing and technical assistance on favorable terms, and, finally, enables SIDI to increase its support to local cooperatives (currently representing 28% of the portfolio).   APODIP: A Key Player In Organic Cocoa And A Creator Of Local Value  APODIP is a great example of an Ethiquable partner cooperative that receives support by SIDI. APODIP - Guatemala Created in 2003 by 48 coffee producers from the Paraiso community in northern Guatemala, the APODIP association now brings together 1,218 small producers committed to responsible production and marketing of organic, high-quality cocoa, coffee, cardamom, and peanuts . In line with the fair-trade movement, the association has grown significantly in recent years, thanks to the partnership it established with Ethiquable in 2018. APODIP is a highly dynamic organisation that has set up a company to handle commercial activities, designed specific brands for each product, and opened a retail store. APODIP has built the country's first cocoa paste manufacturing plant , which will supply Ethiquable's organic chocolate factory in the Gers region of France. The export of a partially processed product - cocoa paste rather than just cocoa beans - enables producers to significantly increase their incomes. While APODIP's growth momentum remains fragile due to insufficient working capital, its development potential is very high, particularly thanks to its cocoa factory . The $250,000 loan granted by SIDI in 2024 enabled APODIP to purchase cocoa from its members, as well as organic cocoa from Ethiquable partner cooperatives in Nicaragua, making the factory profitable. APODIP has also asked SIDI for help in strengthening its administrative and financial capacities and completing the process of creating local added value. This new partnership with APODIP is one of the concrete results of the strategic alliance between SIDI and Ethiquable – and we look forward to developing many more such partnerships to strengthen cooperatives in the years to come. About the Authors: Emmanuel Gagnerot is   Director of Operations and Partnerships at SIDI. With a background in the Social and Solidarity Economy, he began his career at France Active and later headed the SSE department at Crédit Coopératif. His vision combines concrete action, technical expertise, and ethical commitment, values he shares with SIDI’s team and volunteers. At SIDI, he is responsible for strengthening the organization’s impact across its 127 partners in 33 countries, managing a portfolio of €56 million. In addition, Emmanuel leads the implementation of SIDI’s agricultural strategy and works to reinforce support for local cooperatives in the Global South. Adèle Voyeux  brings over 10 years of experience in the microfinance sector. Her career has been deeply rooted in fieldwork, where for many years she performed onsite assignments working directly with small entrepreneurs and smallholder farmers, gaining firsthand insight into their challenges and opportunities. Since joining SIDI in 2024, Adele has expanded her expertise to include cooperatives and sustainable agriculture, further enriching her understanding of grassroots development. At SIDI, she leads fundraising and external relations, leveraging her experience to build strong partnerships and mobilize resources in support of local MFIs and AgriSMEs.

Author: Michaël de Groot, Rabo Rural Fund . In the sixth in our blog series to celebrate the International Year of Cooperatives, Michaël de Groot from Rabo Rural Fund contrasts the beauty of cooperatives as a concept, but a beauty that is all too commonly neglected in practice. How can we maintain the enormous potential of their influence while ensuring they remain fit for purpose, staying competitive and efficiently serving their members? This blog is on the beauty of cooperatives, the power of their collective influence, and the ugliness of how they have been misused. This is not an academic plea, but rather reflects insights working for 30 years with farmer organizations, savings and credit cooperatives and stakeholders in 36 countries. Cooperatives are not some policy instruments to fix every problem in the world i.e. poverty, income, gender, youth, climate, biodiversity. Nor are they aggregators to bring subsidies for cheaper Agri-credit or to solve other social dilemmas. What are they? Cooperatives are enterprises with clear economic and social goals and a shared ownership, long-term value creation, responsible entrepreneurship. Their business needs to be solid, and the basis is a well-functioning stakeholder model.   Times Are Changing The world is undergoing rapid changes – among them climate change, deforestation, lack of water, soil quality, migration, conflicts which leads to structural transformation of the places where we live. While Friedrich Raiffeisen had a keen eye for poverty reduction and created the first credit union in 1864 - the Heddesdorfer Darlehenskassenverein - it was functional within the confines of its time and place. 160 years later we maybe should renew our thinking on cooperatives and ask ourselves do we give them due recognition. In the 1990s there was a lot of attention for microfinance as a way out of poverty reduction, starting with NGOs deploying microcredit programs changing into funds growing into non-bank financial institutions and finally into banks. The ‘peak’ was an IPO of Equity Bank in 2006 and Banco Compartamos in 2007. Microfinance was now seen as a separate asset class to invest in and a purely commercial venture. Was the cooperative sector forgotten i.e. not beautiful anymore? On the contrary; there are more than 43,000 savings and credit cooperatives alive today with 900 million members that reach clients and areas (particularly rural areas) that are unattractive to banks. What characterises them? They provide savings services to their members, unlike most microcredit funds; Savings and credit cooperatives are often started locally, without major external support; Their solid base of small savings accounts constitutes a stable, relatively low-cost funding source; and Well-run savings and credit cooperatives have low administrative costs and offer loans at interest rates lower than those charged by other microcredit providers. Impact and outreach  Our focus and technical support began in 1994 in Indonesia and Vietnam primarily supporting savings and credit cooperatives related to a second tier organisation Bank Umum Koperasi Indonesia (which later on transformed into Bank Bukopin) and in Vietnam the VPB bank for the Poor transformed into VBA, the Vietnam Bank of Agriculture. In Tanzania coffee cooperatives in the north Arusha region formed their own Kilimanjaro Cooperative Bank to provide thousands of farmers access to finance. The KCBL and the Tandahimba Community Bank merged in 2024 into Coop Bank Tanzania. The Cooperative Bank of Oromia in Ethiopia was founded   20 years ago by farmers and today serves almost 15 million clients. Digital services will enable the bank to serve the unserved and is a major step towards transforming Ethiopia’s agricultural sector. And in Sri Lanka the Sanasa Development Bank or SDB serving the co-operative sector was founded in 1997 by the Sanasa movement of 4 million people to finance the unbanked. Learning from these experiences the Dutch NGO ICCO sought us as a partner for the Terrafina Program, reaching out to rural areas and strengthening 20 savings and credit cooperatives around the great Lakes area in six countries in East Africa. Harbu Microfinance Institution in Ethiopia went on to win the European Microfinance Award in 2010. In Brazil the Cresol system was established in 1996 in the state of Paraná, southern Brazil, as an attempt to provide credit and other financial and non-financial services to smallholder farmers in the region. With over EUR 1.5 billion in assets, Cresol is the third largest cooperative group in Brazil. Cresol has a very strong social impact, serving over 25,000 producers with finance adapted to agricultural cycles. It has 70% of its portfolio dedicated to agricultural activities, reaching EUR 1 billion. Savings and credit cooperative Norandino in northern Peru, founded by three agricultural cooperatives in 2005, serves 27,500 members in with a vast range of products including digital/mobile banking. From Cinderella to Queen What can we learn from these examples? What transformation do savings and credit cooperatives have to undertake to stay competitive and serve their members efficient? Governance.  Based on 30+ years of experience, savings and credit cooperatives are usually traditionally governed by a volunteer board of directors, elected by members. Changes in economy, international regulation, laws and markets require adoption of a broader stakeholder model. Especially when you grow as financial institution, supervision of more sophisticated and risky operations require professional managers and a well-trained board. Often there is an imbalance between voluntary board members and professional staff. Renew your stakeholder model and avoid one-size-fits-all solutions. The business cases explained above all have different stakeholder models and different legal structures adapted to their situation. Collaborate, mergers, fusion.  Savings and credit cooperatives have many names around the world, including credit unions, SACCOs, or COOPACs - and typically share a common bond based on a limited geographic area, employer, community, or other connection. But nowadays to be competitive and provide and excellent service to your members investments are needed in IT, HR, digital money, payment services, and insurance. Scale is necessary to fulfil the essential role and stay competitive. One needs to collaborate whether it is to join together to form a second-tier association or to merge with another cooperative or to create a separate bank as a cooperative system. Improve regulation and supervision.   Countries such as Ecuador, Mexico, and Bolivia changed their laws and brought the ‘microfinance sector’ under supervision of the Central Banks. This resulted in a better protection of public savings and setting quality standards for governance and management. Yet, in many countries in the South, savings and credit cooperatives are often supervised by the same government agency that is responsible for all kinds of other (multi- purpose) cooperatives. Those ministries of cooperatives do not have the financial skills and political independence needed to oversee financial intermediaries. Supervising savings and credit cooperatives requires understanding their risk profile and proper supervision. Transform your financial products.  In traditional savings and credit cooperatives, very limited loan products are offered and based on collateral – typically clients’ savings balance. It’s better to provide other loan products based on cash flow of the business and with variation according to risk levels. It’s better to be more flexible and understand the diversity of credit needs, such as working capital agricultural input loans, leasing, warehousing, housing loans etc. Try to use data to develop better instruments to assess and manage loan risk, apply credit scoring tools for risk analysis and offer flexible lines of credit to fund working capital needs. From Donor/Funder…To Partner Partnerships play an important role in the design and growth of cooperative systems. e-MFP members can play an important role in working on rationalising and increasing the impact of cooperative financial institutions in emerging economies who reach hundreds of millions of people. Especially when providing a focus on inclusive financial services for smaller food and agri producers. Combining the cooperative principles with a sound banking structure that allows them to serve large numbers of customers and attract capital from third parties is what we should aim for together. It is not about capital investments.   Going The Extra Mile As e-MFP members we have to put well-functioning cooperatives with huge potential at the heart of a multi-actor partnerships, with organisations such as International Fund for Agricultural Development, Gates Foundation, and the World Bank and employ blended finance to support the transition from a traditional savings and credit cooperative to a modern financial institution with a solid business model contributing to the social and economic challenges of today. There must be equality and equilibrium in the partnerships. e-MFP members can offer access to knowledge, network, financial solutions and innovation, and through our own partners, we have access to 'critical' food and agri markets, we learn from their travels in fast-growing markets and from innovations such as distribution via mobile phones. The cooperative model can and will survive and thrive – but needs reform to keep it relevant for today. It does not have to be perfect; we just have to be truthful to our mission and be good at it. About the Author: Michaël de Groot is Senior investment manager at Rabo Rural Fund. He joined Rabo Foundation in December 1994 after his return from Sudan where he had been doing volunteer work in community banking projects and informal microfinance schemes. Before going to Africa he worked four years with NMB Bank (now ING) where he was engaged in risk management of international loans. At present he is senior investment manager with Rabo Rural Fund for Latin America. This fund ( founded by Rabo Foundation) invests in sustainable Agri & Food supply chains for smallholder producers. Beside these activities he is a member of teams engaged in the development of another social ethical investment fund, a green fund, and micro-finance loans. Michaël has 30 years international experience in co-operative savings and credit systems, village banking and a variety of other types of microfinance institutions with a wide knowledge of issues such as: strategy formulation and (re)positioning, organisational issues, savings and loan policies, membership development, new product design and institution building.

Authors: Sabbir Patel & Matthew Genazzini. In the seventh in our blog series to celebrate the International Year of Cooperatives, Sabbir Patel of ICMIF Foundation and Matthew Genazzini of the Microinsurance Network discuss the role of cooperatives in scaling up inclusive insurance, what these partnerships can look like in practice, and what challenges have to be overcome for cooperatives to reach their full potential in scaling inclusive insurance     When Maria, a small-scale farmer in the Philippines, lost half her rice crop to flooding, it could have been the end of her family’s livelihood. But through her local cooperative, Maria had enrolled in a smallholder crop insurance scheme. The payout she received didn’t make her rich, it simply meant she could replant, repay her loan, and keep her daughter in school. That’s the silent power of inclusive insurance when it’s delivered through organisations people trust. Despite the growing recognition of insurance as a critical safety net, millions of low-income individuals worldwide remain excluded from financial protection. The latest data from the Landscape of Microinsurance , published by the Microinsurance Network , reveals that around 90% of people in low-income countries lack access to insurance, leaving them vulnerable to devastating shocks - whether from illness, climate disasters, or sudden unemployment. For these households, even a minor crisis can push them deeper into poverty, undermining years of hard-earned progress. This is where cooperatives emerge as a powerful solution. Rooted in community trust and built on principles of solidarity, cooperatives have a unique ability to reach populations that traditional insurers often overlook. With 3 million cooperatives worldwide serving over 1 billion members (roughly 12% of the global population) they represent a vast, decentralized network for delivering inclusive financial services.  Their member-driven structure ensures that products are designed with local needs in mind, fostering higher uptake than conventional insurance models.   Why Cooperatives Matter Cooperatives - member-owned and democratically governed organisations - are rooted in communities. They exist not to maximise profits, but to serve the needs of their members . This model makes them especially well-suited to deliver insurance that is accessible, affordable, and responsive to the realities of low-income households. Cooperatives are built on mutual trust and shared interest.  They often emerge from the community itself, meaning they speak the language (literally and culturally) of the people they serve. For low-income populations who may distrust commercial institutions or lack awareness on the benefits of insurance, this can make all the difference. Furthermore, the International Labour Organization (ILO) underscores their role in advancing the Sustainable Development Goals (SDGs) through a paper entitled Cooperatives and the Sustainable Development Goals ( ILO Coops SDGs 2014 ), particularly in reducing poverty (SDG 1), gender inequality (SDG 5), and climate vulnerabilities (SDG 13). Cooperatives are also inherently inclusive. Many offer bundled services - savings, loans, financial education, and insurance - creating integrated safety nets and promoting a holistic approach to managing risks. They often prioritise women, smallholder farmers, informal workers, and other groups typically excluded and marginalised from mainstream financial services. Examples From The Field In the Philippines, CARD Mutual Benefit Association , part of the CARD MRI cooperative group, serves over 8 million members, most of whom are low-income women. Their insurance offerings include life, disability, and calamity protection. Beyond financial services, CARD invests in community education, disaster preparedness, and healthcare access - an integrated approach that builds both resilience and dignity. Meanwhile in India, the DHAN Foundation has developed a grassroots, community-based model for providing services to the low-income underserved communities. Through its People Mutuals  initiative, DHAN has established locally based mutual federations to design, deliver, and manage its life and health mutual insurance products, while also providing risk awareness and risk prevention advice. To date Dhan Foundation has reached over one million households with mutual insurance though its unique community-based approach. Dhan is now introducing mutual crop insurance coverage to small scale farmers already part of its network. These are not isolated examples. Across Latin America, Asia, and Africa, cooperative and mutual insurers have become central actors in financial inclusion  and their reach is significant.  The members of the International Cooperative and Mutual Insurance Federation  (ICMIF), which is a global network of cooperative and mutual insurers committed to values-based insurance and sustainable development, serve alone over 350 million policyholders globally, many of whom are in low-income or underserved segments. Challenges That Stand In The Way Despite their strong performance and social mission, cooperatives face many challenges in scaling up inclusive insurance: First, regulatory frameworks in many countries don’t always accommodate non-traditional distribution partners  and cooperative and mutual insurance models. Licensing requirements, solvency standards, and reporting obligations may be designed for large commercial players, unintentionally excluding smaller community-based insurers. Second, access to reinsurance and capital remains limited for many cooperatives , particularly those in developing markets. Without adequate risk-sharing mechanisms, these organisations struggle to expand their coverage and/or withstand from catastrophic events. Third, digital transformation can be a challenge.  While cooperatives have deep local roots, they often lack the technical infrastructure or investment capital to adopt mobile platforms, data systems, and digital claims processing tools - technology that can make insurance cheaper, faster, and more accessible. Finally, education and awareness are ongoing needs.  Insurance remains a complex and sometimes misunderstood product. For many low-income individuals, the concept of paying now for a future risk that may or may not occur is unfamiliar, and even counter intuitive.   Unlocking The Full Potential To harness the full potential of cooperatives in expanding inclusive insurance, a multi-stakeholder effort is required, which cuts across several key areas: Enabling environment : Policymakers and regulators can help by adapting legal frameworks to recognise the value and structure of non-traditional distribution partners as well as mutual and cooperative insurers. Proportionate regulation, which is tailored to the size and risk profile of community-based entities, can promote innovation while safeguarding stability. Investment in capacity and technology : Cooperatives need access to affordable digital tools, risk modelling, and data systems. Partnerships with fintechs, development agencies, and reinsurers can accelerate modernisation. Financial infrastructure : Access to reinsurance markets, climate risk pools, and technical assistance is essential for resilience. Donors and development finance institutions can play a catalytic role. Finally, knowledge sharing and peer learning : Platforms like the Microinsurance Network  and ICMIF  facilitate critical exchange between the various stakeholder (cooperatives, insurers, researchers, regulators, etc.) spreading lessons learned and amplifying best practices. Cooperatives are uniquely positioned to build trust and explain value, but they need support to do it effectively. A Human-Centred Model For Resilience At its heart, cooperative insurance is about people helping people. It’s about turning shared risk into shared strength. In the face of disaster, illness, and other financial shocks, a well-designed insurance product can mean the difference between recovery and ruin. And cooperatives can foster not just coverage, but resilience, dignity, and community cohesion. As the world grapples with compounding risks stemming from climate change, economic volatility, and widening inequality, the need for inclusive, community-rooted insurance models has never been clearer. Cooperatives represent one of the of the most powerful stakeholders to improving the resilience of low-income populations, and one that has proven success throughout the world. About the Authors: Sabbir Patel joined ICMIF in 1996 and has held a variety of roles spanning finance, development, and emerging markets. He became Managing Director of Allnations Inc. in 2004, leading investments in Africa and Latin America, and in 2005 was appointed Senior Vice-President, Emerging Markets and CFO. He has led key initiatives including microinsurance seminars, Takaful sector collaborations, and the creation of a global microinsurance training tool. Sabbir also contributed to international regulatory work on mutual microinsurance with the IAIS. Since 2015, he has served as CEO of the ICMIF Foundation, overseeing the 5-5-5 Mutual Microinsurance Strategy, which has provided protection to over 17 million people. In 2022, he helped launch the UNDP ICMIF Innovation Insurance Challenge. He is a Fellow of the Chartered Certified Accountants (FCCA), holds a Master’s degree from the Institute of Development and Policy Management in Manchester, and a CII Diploma in Insurance. Matthew Genazzini has 15 years of experience in development finance and inclusive insurance and is the Executive Director of the Microinsurance Network. He has a BA in Contemporary History from the University of Sussex and an MA in Latin American Studies from the University of London. He has significant experience in the inclusive finance sector with ADA – Appui au Développement Autonome, managing capacity building and product diversification projects for financial institutions, with a particular focus on microinsurance. In 2017, Matthew managed the Technical Support for MFI’s unit in ADA, which aimed to strengthen financial institutions through the provision of financial and technical assistance services, and in 2020, he changed position and launched the Smallholder Safety Net Up-scaling Programme (SSNUP), a public private development partnership aiming to strengthen the resilience of smallholder farmers by promoting investments in the agricultural sector. In parallel, Matthew joined the board of the Microinsurance Network in 2019 and later, in October 2024, become the director.

Author: Oikocredit. In the fifth in our blog series to celebrate the International Year of Cooperatives, Oikocredit shares lessons from five decades of supporting cooperatives, what makes them unique, and what we can learn from one of the largest client surveys in the impact investing industry. “Cooperatives build a better world” is the rallying cry of the UN’s International Year of Cooperatives. Running throughout 2025, it calls attention to the role of these member-owned businesses in reducing poverty, building economic resilience and creating inclusive, sustainable development. But slogans aside, what does “better” actually feel like to small-scale farmers in Africa or business owners in South America? Cooperatives are well placed to answer that question, as inherently democratic organisations with members that jointly set policies and make decisions. Enshrined in their structure is a responsibility to act in members’ best interests: by being transparent, equitable and accountable.   In other words, they do this by driving concrete improvements in the daily lives of their communities. As former UN Secretary General Ban Ki-Moon put it , “Cooperative endeavour is about empowerment, inclusion and sustainability…no-one should be left behind.”     Building Financial Stability, One Investment at a Time   As an impact investment cooperative, Oikocredit has understood the crucial role financial stability plays in improving lives and livelihoods for 50 years. From our founding in 1975, when the world was facing apartheid in South Africa and the ravages of the Vietnam War, a group of church activists took practical steps to improve people’s lives. Their action strategy was to pool investments into a cooperative and then put that money to work for communities outside the reach of mainstream banks.   The results of this alternative investment approach have been proven repeatedly over the years. Within a few years, development organisations had acknowledged the importance of “banking the unbankable”.  Since then, Oikocredit has built on this momentum.   Over the past five decades, it has disbursed EUR 5.8 billion to support 2,240 partner organisations across 75 countries, helping extend access to finance for millions of people who live on low incomes, particularly women and rural communities.     Tracking Hard Metrics for Investor Clarity   Another common question has motivated Oikocredit over these years: how could we track the impact of our work?  Aside from being recognised by the development finance sector, how can we truly ascertain that investors’ capital wasn’t just moving money, but actually moving lives? The need to measure our outreach and its on-ground effects led us to launch the Outcomes Programme in 2014 . We did so to create a structured accountability, but also to provide our investors and partners with clarity and corroboration. After all, transparency is fundamental to a cooperative’s work.   The Outcomes Programme has helped 25 partners build outcome tracking into their own systems, encouraging long-term ownership. It has shown the importance of integrating widely dispersed – and often siloed – data in a systematic way. A second learning was the need for stronger staff support to measure what really matters. Third, it has shown the need for tools to support data collection and visualisation.   Armed with these lessons and supported by buy-in from their partners, Oikocredit went one step further in 2021, launching the Client Self Perception Survey .  The collaborative programme is the biggest exercise of its kind and reflects Oikocredit’s cooperative spirit. Not only are questions tailored to each partner’s specific needs, but it also means we can discuss available data collection options and offer our partners a choice of method, to align with their capacity and interests. Survey results are analysed together with complementary internal information from partner organisations, combing both external data and internal knowledge work together to inform understanding.   By listening to end-clients on key areas such as business, savings, health, education and digital access, the programme helps partners tailor services to improve client outcomes . It also strengthens Oikocredit’s ability to report on outcomes and impact to investors, our cooperative members, leadership and our board.   Perhaps most important, the process of talking to micro-borrowers, people on low incomes and other end-clients identifies future action areas, enabling partners to adjust their strategies and interventions to better achieve their aims. Oikocredit also works with partners to improve their products and services in response.   Designing Financial Services in Cooperation with Stakeholders  Armed with firsthand feedback from this cooperative learning platform, organisations can tailor their services – for example offering financial education, flexible loans or weather insurance – instead of following a one-size-fits-all business model.   The 2024 edition of the survey asked more than 48,000 of Oikocredit’s partners’ customers how their lives have been affected, and more than 80% reported their lives had improved thanks to support from partner organisations – many of which are cooperatives. For these people, “better” translates into things like higher household savings, increased income, and being able to cope with unexpected expenses . These gains are the essence of “better” for many: having a secure way to save means that families can handle health bills or emergencies without sinking deep into debt.   One representative finding was that clients who built up any savings were much better able to manage medical costs and emergencies such as crop failures.  So ‘better’ banking, for them, means real financial resilience . It means putting food on the table, keeping children in school, or not worrying about a sick family member.   “Better” for cooperative communities, then, means more income and savings, greater resilience and supportive services tailored to real needs . It also means lower costs and higher trust, as we see with cooperative-style solidarity groups: surplus funds are often reinvested, deepening both financial and social return.   “Better” can also mean other kinds of support. For example, people with access to clean energy (through the cooperative process) reported higher incomes and quality-of-life improvements:  solar power at home, irrigation pumps for farmers, or training programmes.   Worrying, but rather unsurprising, was the impact of extreme weather.  The results of climate change continue to have a disruptive effect on many clients’ earning abilities. With a majority (76%) of those who were asked about climate change experiencing income disruption, there is a pressing need for climate-resilience programmes.   Survey insights  have led to practical action. Some organisations partners have rolled out environmental performance training and launched climate resilience measures, including local weather alerts, financing for water infrastructure, and tailored loans for farmers. Others are rolling out digital and financial literacy sessions, automating loan processes to cut wait times and exploring ways to support better household water and sanitation outcomes.   We Must Put Real-time Needs at the Heart of Inclusive Finance   As a cooperative, Oikocredit understands that for the people we and our partners serve, “better” is tangible: it’s having enough savings to face a crop loss, being able to improve a small business or knowing the bank is on their side. By gathering feedback and focusing on those real-world goals, cooperatives can measure their own success by client success. They can live up to the promise of doing finance differently: putting people first and pumping resources back into making members’ lives better.   In this International Year of Cooperatives, “better” means putting people’s needs at the heart of inclusive finance. When thousands of people say, “we’re getting better,” the whole financial system can become stronger and more resilient. And when we truly listen and reinvest into the communities we serve, we sharpen our impact and build durable trust on the ground, ensuring no one is left behind.    See what more than 48,000 clients can teach us about impact in Oikocredit’s latest Client Self-Perception Surve y. Photo source: Oikocredit About the Author: Oikocredit is a social impact investor and global cooperative celebrating 50 years of impact investing in 2025. Since 1975, Oikocredit has provided funding to organisations active in financial inclusion, agriculture, renewable energy, and community resilience. Through loans, equity investments, and capacity building, Oikocredit supports partners across Africa, Asia, and Latin America to improve the lives of low-income people sustainably. As of 31 March 2025, Oikocredit has over 46,000 investors and finances 472 partners with a development financing portfolio of €1,045.2 million. For more information, visit:  www.oikocredit.coop

Author: Gevorg Aboyan, Jinishian Memorial Foundation. In the fourth in our blog series to celebrate the International Year of Cooperatives, Gevorg Aboyan from Jinishian Memorial Foundation (JMF) explains JMF’s 20+ year history of developing Agricultural Cooperatives in Armenia, the challenges it has faced; innovations tested – and what JMF sees as some lessons for the broader cooperative movement. Across Armenia’s mountainous landscapes, agriculture remains a vital pillar of rural livelihoods. Yet in the post-Soviet era, smallholder farmers faced an uphill battle — fragmented land ownership, weak market access, outdated agricultural practices, and limited financial resources have kept many in cycles of subsistence and vulnerability. Against this backdrop, the Jinishian Memorial Foundation (JMF) has spent over two decades nurturing a quiet revolution in rural economic life: the emergence of strong, sustainable Agricultural Cooperatives (AC) . Since 2003, JMF’s mission has been clear — to empower farmers to move from isolated struggle to collective strength, helping them build cooperative organizations that generate shared economic benefits, improve living standards, and foster social solidarity in their communities. Building the Foundations: 2003–2006 Recognising the historical mistrust of “collectivised” models inherited from the Soviet era, JMF began its work with patience and vision — supporting voluntary, farmer-led ACs grounded in democratic principles and economic transparency. In partnership with the United Methodist Committee on Relief (UMCOR), JMF launched the Support Program for Farmer Organizations in Armenia  in 2003. The objectives were ambitious: to improve farmers’ economic conditions; to facilitate the formation of ACs; and to strengthen cooperative governance and operational efficiency. By 2006, nine ACs were established, uniting 522 farmers — an important first wave of organised rural producers. Crucially, the program also delivered intensive capacity-building: cooperative management, member rights and responsibilities, financial planning, taxation, record-keeping, agribusiness skills, and animal husbandry were all on the training agenda. Scaling Knowledge and Practice: 2005 and beyond As ACs gained experience, JMF and its partners recognised that technical training was essential for lasting success. From 2005, with support from the Federation of Regional Associations Uniting Agricultural Cooperatives, the program expanded — now reaching 23 ACs and 1,500 farmers. Over this time, the curriculum has broadened to include agro technology, plant protection, veterinary services, agribusiness management, and legal frameworks — giving cooperatives the knowledge to navigate complex markets and policy environments. JMF also provided grants and low-interest credit , enabling ACs to invest in equipment and services that improved productivity and income. As always, JMF continued to contribute to a new phase of cooperative development through its work. Many cooperatives were not only strengthened internally, but new cooperatives also emerged , inspired by the success stories of old cooperatives   Integrating Sustainable Natural Resource Management In 2012–2013, as the importance of sustainable resource management grew, the Community Pasture/Livestock Management System component was launched. Training sessions were held in 55 rural communities throughout Armenia, benefiting over 5,800 farmers. This broadened the cooperative movement’s relevance, positioning ACs as actors not only in local economic life but also in environmental stewardship — managing pastures and livestock with greater efficiency and care. Navigating Challenges: Governance and Power Dynamics While many Armenian cooperatives have done really well thanks to established rules and governance, there are still some challenges to overcome, many of which are linked to our historical experience. First, despite democratic governance structures (with elected leadership and decision-making via general assembly), traces of Soviet-era administrative culture sometimes persist : centralisation of power, top-down leadership, and hierarchical tendencies, gradually eroding trust and participation. Second, external support has diminished. When cooperatives benefit from this — such as grants, technical assistance, or new investment — energy and engagement surges. However, as external resources diminish, risks emerge, such as assets control by the leadership elite, poor transparency, and decline in member involvement . This is a dynamic familiar to cooperative practitioners worldwide. Genuine, lasting success requires not only technical skills and financial resources, but also cultural change  — fostering habits of transparency, accountability, and shared responsibility. Fostering Innovation and Social Impact: A New Chapter Recognizing these dynamics, JMF has pioneered new approaches to strengthen cooperative cohesion and embed social values . Over nine years up to 2020, JMF, in partnership with a credit organisation, provided subsidized, low-interest loans to members of approximately 27 agricultural cooperatives. However, this initiative was developed with a unique social twist: each year, a portion of the loan interest payments is pooled into a Social Solidarity Grant Competition. Through this program, cooperatives compete for funds to implement projects that benefit the wider community , turning healthy competition into a tool for social innovation. These projects include building playgrounds, digging wells, installing street lighting, renovating public parks, and more. Toward a European Cooperative Model: The Road Ahead Looking forward, Armenia’s cooperative movement stands at an important crossroads. To achieve higher levels of efficiency, transparency, and sustainability, cooperatives would benefit from learning from the most successful models in Central and Eastern Europe, where countries emerging from socialist legacies have built thriving cooperative sectors through modern governance, professional management , and clear separation of member and leadership roles . We believe that JMF’s experience shows that Armenian cooperatives can develop in a way where leadership prioritizes the membership, internal fragmentation is minimised, and economic performance is both robust and inclusive. Lessons for the Global Cooperative Movement JMF’s two-decade journey offers valuable lessons for the broader cooperative and microfinance community: Cooperative development is a long game — requiring sustained investment in people, skills, and relationships; Governance and culture matter as much as technical know-how; Blending economic and social incentives can generate deeper engagement and solidarity; and Local ownership and adaptation — not one-size-fits-all models — are key to success. The seeds of change have been planted. The next chapter will rely on enhancing cooperation, building trust, and welcoming innovation, lessons that apply well beyond Armenia’s borders. About the Author: Gevorg Aboyan is Community Development Project Coordinator at JMF. Gevorg has been a member of the Jinishian Foundation since 1999, where his extensive experience plays an integral role in the organization’s mission. He coordinates and promotes the foundation's strategic initiatives aimed at fostering community development across diverse projects.

Authors: Douglas P. Daura & Nihar Jangle, GIZ. On March 12th, e-MFP was pleased to launch the European Microfinance Award (EMA) 2025  on ‘Building Resilience through Inclusive Insurance’. This is the 16th edition of the Award, which was launched in 2005 by the Luxembourg Ministry of Foreign and European Affairs, Defence, Development Cooperation and Foreign Trade, and which is jointly organised by the Ministry, e-MFP, and the Inclusive Finance Network Luxembourg (InFiNe.lu), in cooperation with the European Investment Bank. This year, e-MFP is also delighted to welcome as a strategic partner our friends at Microinsurance Network (MiN). In this 6th piece in the series, Nihar Jangle and Douglas Daura discuss the risks faced by Zambian smallholder farmers, and how their resilience to shocks can be mitigated by weather index-based crop insurance embedded into contract farming models. For Zambia’s smallholder farmers, the risks of farming have always been high. But in recent years, the stakes have risen dramatically. Climate change has brought erratic rainfall, extended dry spells, and sudden floods – threatening not just harvests but livelihoods. For many rural households, a single bad season can mean selling assets, pulling children out of school, or going hungry.   Since 2017, GIZ – on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ) – has been supporting innovative models to address this challenge, most notably by embedding weather index-based crop insurance   into Zambia’s agricultural value chains . The most promising of these models relies on contract farming as a delivery mechanism – an approach that strengthens both financial protection and production systems. What Is Contract Farming? Contract farming  is a formalised partnership between smallholder farmers and agribusinesses, typically structured around forward agreements. These contracts specify the type and quantity of crops the farmer will produce and deliver, while the buyer – usually an off-taker – commits to purchasing the harvest, often at a predetermined or market-linked price.   In many cases, buyers also provide so-called embedded services  to farmers at the start of the season – such as seeds, fertilizer, crop protection products, technical advice, and credit. These inputs are typically repaid at harvest through deductions from the farmer’s sales proceeds. The arrangement helps smallholders access essential inputs and reliable markets, while buyers benefit from a more consistent, higher-quality supply. In Zambia’s cotton sector in particular, contract farming has become a key model for structuring smallholder production. It also provides a natural entry point for bundling financial services such as insurance. Embedding Insurance into Contract Farming A leading example is Louis Dreyfus Company (LDC) Zambia , a contract farming operator working with thousands of smallholder cotton producers. In a partnership with GIZ and local insurers, LDC integrated weather index-based crop insurance  into its input support package. The insurance covered drought and excessive rainfall – especially during the critical germination and flowering phases. Rather than relying on costly, case-by-case loss assessments, payouts were triggered automatically when rainfall data (based on remote sensing) crossed pre-agreed thresholds. This made the model efficient, scalable, and transparent.   To remove financial barriers, LDC Zambia pre-financed the insurance premiums , recovering the cost after harvest. When a payout was triggered, LDC deducted any outstanding input loans and passed the remainder to the farmer. This ensured that farmers weren’t left with debt after a failed season – and could re-invest in the next one.   Over time, the bundled product has grown to include life insurance , providing a modest funeral benefit in the event of a farmer’s/beneficiary’s death. Initially met with scepticism, this addition has proven valuable and welcomed by farming families. It reinforced trust between farmers and LDC and strengthened the appeal of the overall package.   Field feedback showed clear benefits. Farmers who were insured were more likely to take up inputs, expand their cotton acreage, and deliver their harvests to LDC, rather than side-selling. For LDC, this meant reduced default risk, improved supply chain stability, and stronger farmer loyalty – a win-win for both sides. Beyond Contract Farming: Engaging Other Aggregators While contract farming offers an effective distribution model, it is not the only one. GIZ also supported insurance delivery through a range of aggregators:   Microfinance Institutions (MFIs):  VisionFund Zambia bundled weather index and livestock insurance with loans. The premium was integrated into the loan, and payouts could help clients repay in bad seasons – protecting both borrower and lender. Seed Companies:  Firms like Pioneer and Monsanto have offered weather insurance bundled with maize seed packs. This approach protected against early-season risks such as drought during germination and served as a marketing incentive. Cooperatives and SACCOs:  Community-based savings and credit organizations were also being explored as channels for distributing insurance and climate information, particularly in areas where contract farming was less prevalent.   Across all these models, a common insight has emerged: aggregation is essential . Whether through off-takers, lenders, or farmer groups, trusted intermediaries reduce transaction costs, improve communication, and drive uptake. Lessons Learned and Looking Ahead After nearly a decade of experimentation and implementation, a number of key takeaways stand out:   Pre-financing premiums  – by aggregators – solves a major access barrier for low-income farmers. Bundling insurance with existing services  (inputs, credit, training) improves value for money and makes insurance more relevant to farmers’ real needs. Farmer education and trust-building  are essential. Sensitisation through printed materials, local language campaigns, mobile messaging, and face-to-face interaction all matter. Insurer capacity  remains a bottleneck. Long-term technical assistance and skills transfer are needed to build local expertise in product design, pricing, and claims management. Data and digital tools  offer untapped potential for improving product design, reducing basis risk, and reaching scale.   So far, GIZ-supported schemes have reached thousands of farmers across Zambia through multiple partners. Training materials and awareness campaigns in English, Tonga, Bemba, and Nyanja have broadened understanding and demand. But the real opportunity lies ahead: scaling what works, refining what doesn’t, and embedding these tools more deeply into Zambia’s financial and agricultural systems.   As climate shocks become more frequent and severe, weather index-based insurance – when distributed through trusted, farmer-centric models like contract farming – offers a proven path to strengthening resilience, reducing vulnerability, and building a more secure future for rural households.    This blog reflects the experiences of projects implemented by GIZ and commissioned by the German Federal Ministry for Economic Cooperation and Development (BMZ). For more information, contact nihar.jangle@giz.de  or douglas.daura@giz.de Photos: GIZ About the Authors: Dr. Nihar Jangle has 15 years of experience in Climate and Disaster Risk Finance and Insurance (CDRFI), with a proven track record of successful implementations across multiple countries.   Nihar Jangle has been with GIZ Germany since 2017. He is currently heading the Risk Finance & Insurance Team at GIZ, implementing CDRFI solutions on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ) in partner countries, in addition to advising the ministry.   From 2010 to 2017, Nihar Jangle was Director of the Climate Change Program at the Micro Insurance Academy in India, heading a multi-year initiative on inclusive insurance solutions for climate-related risks, including health, crop, livestock and natural catastrophes. This work experience led to several publications in peer-reviewed journals. Nihar’s work was recognized with the 2016 Shin Research Excellence Award bestowed by the Geneva Association and the International Insurance Society (IIS).   Nihar Jangle holds a doctorate degree in mathematics from Free University Berlin and served as Visiting Scientist at Brown University, USA, for two years. After finishing his degree, he worked with a consulting firm in Germany’s financial sector, focusing on risk management for major German banks.   Douglas P. Daura   is a seasoned agricultural finance and climate risk insurance expert with over a decade of experience driving inclusive solutions for smallholder farmers in Zambia. As Senior Advisor for Agricultural Finance & Insurance under GIZ’s AgFIN project, where he supported financial institutions, agribusinesses, and government partners in designing and scaling innovative financial products tailored to the needs of rural communities. Douglas played a pivotal role in the implementation of the Climate Risk Insurance and Information in Zambia (CRIIZ) project, which expanded weather index-based crop insurance across Zambia’s agricultural value chains. His leadership contributed to the delivery of over 30,000 climate risk insurance policies—30% of them for women—and the integration of climate risk insurance into contract farming arrangements with companies like Louis Dreyfus Company Zambia ( develoPPP.de project). His work helped ensure farmers had access not just to insurance, but also to climate information, financial training, and input services, strengthening both resilience and productivity. Douglas is currently working under Climate Resilient Agri-Food systems (CREATE) under the private sector development - project co-financed by the European Union (EU) and the German Federal Ministry for Economic Cooperation and Development (BMZ). Implementing the ENTERPRISE Zambia 2.0   Douglas holds a BSc in Agricultural Sciences from the University of Zambia and brings a strong background in agronomy, insurance underwriting, and stakeholder engagement. He is passionate about developing scalable, farmer-centric insurance models and continues to drive efforts that embed climate risk tools into Zambia’s broader development and finance systems.