Rome, 14 June 2024 – The International Fund for Agricultural Development (IFAD) applauds the announcement by the Prime Minister of Canada, today, at the G7 in Puglia, to commit CA$100 million to IFAD’s 13th replenishment, to support the world’s poorest rural populations in its (2025-2027) programme of work. He has also confirmed a CA$100 million contribution to IFAD’s Private Sector Financing Programme (PSFP). This announcement comes at a time when the world is facing a growing number of uncertainties including increasing levels of hunger and poverty, worsening effects of climate change and a growing number of conflicts.

“I am extremely grateful for Canada’s generous contribution, which enables vital investments in rural development to address global hunger, poverty, and climate change. I urge other countries to follow suit. We know the solutions but we cannot implement them without more support like Canada's,” said IFAD President, Alvaro Lario. 

“I extend my deepest gratitude to Canada for its vital investment in millions of courageous rural women men and youth who tirelessly produce food and nourish their communities, often in the face of challenging conditions. These individuals deserve the opportunity to lift themselves out of abject poverty. I urge all IFAD Member States that have not yet pledged to join Canada to invest in rural people, as they are invaluable assets for the future of our world,” said Sabrina Dhowre Elba, IFAD Goodwill Ambassador.

Canada’s contribution to IFAD core resources will support millions of rural women, men and youth, small-scale farmers and indigenous people in developing countries grow and diversify their food production, better adapt to climate change, earn a better income by accessing food value chains and markets, ultimately feeding a growing number of people, stimulating rural economies and building better lives for themselves.

The contribution to the IFAD PFSP programme will support micro, small and medium-size enterprises (MSMEs) and local intermediaries servicing small scale farmers by providing financial services, inputs, fertilizers, agricultural advice and knowledge. These small agrifood businesses and entrepreneurs are the backbone of rural economies and drive economic growth and job creation. IFAD’s investments in MSMEs attract additional private sector investors, a crucial source to complement existing donor resources, currently not enough to achieve the Sustainable Development and climate goals.

So far, 80 Member States have pledged US$1,37 billion to replenish IFAD core resources for the period 2025-2027, making the IFAD 13th replenishment the highest ever with several Member States making their highest contribution ever and many Member States from both developed and developing countries stepping up their support substantially. IFAD’s ambition is to mobilize US$2 billion in new funding to support a US$10 billion programme of work and impact over 100 million rural people.

Adaptation to climate change, engagement with the private sector to beef up its investments and action in rural areas and support to fragile areas compounded by a convergence of challenges and risks, will be high priorities for IFAD in 2025-2027, while maintaining its strong commitments to gender equality and women empowerment, indigenous people, youth and nutrition.

About 80% of the world’s poorest people live in the rural areas of developing countries. Despite being on the frontlines of climate change and hunger, rural populations and small-scale farmers produce one third of the world’s food. Yet, they receive less than 1% of global climate finance. Official Development Assistance (ODA) to agriculture has been stagnating at about 5-6% of ODA for years. The US$10 billion reached in 2021 are falling short of global needs.

Find out more about the Canada – IFAD Partnership.

Canada and IFAD have a long-standing partnership to end poverty and hunger. Canada’s development priorities and IFAD’s mandate are strongly aligned on women’s empowerment and climate change.

Canada is a founding member of IFAD, a top donor to the Fund and is strongly engaged in IFAD’s governance. Since IFAD’s creation in 1978, Canada has provided US$635 million to the Fund’s resources. Canada also made a CA$340 million climate finance loan to IFAD for 2019-2021, a historical milestone to promote climate-smart agricultural programming and gender-sensitive activities in rural populations in low-income and developing countries.

Note to editors:

IFAD launched its 13th replenishment in 2023, calling for increased investments in small-scale farmers and rural people across developing countries. Typically, over 100 countries contribute to IFAD’s replenishments, making it the most widely supported of all the major IFI replenishments. Find out more: IFAD13

Press release No.: IFAD/46/2024

IFAD is an international financial institution and a United Nations specialized agency. Based in Rome – the United Nations food and agriculture hub – IFAD invests in rural people, empowering them to reduce poverty, increase food security, improve nutrition and strengthen resilience. Since 1978, we have provided more than US$24 billion in grants and low-interest loans to fund projects in developing countries.

A wide range of photographs and broadcast-quality video content of IFAD’s work in rural communities are available for download from our Image Bank.