Business · Economy · 3 days ago
eSusFarm uses farm data to help banks assess smallholder farmers
Banks often rely on regular monthly incomes to judge whether someone can repay a loan.
Many smallholder farmers earn money seasonally, so standard banking methods may not fit their needs.
eSusFarm Africa collects information about farms and farming conditions to help assess risk.
Better information could make it easier for banks to consider financing farmers.
eSusFarm Africa uses farm-related information to help banks assess risk and make financial decisions about smallholder farmers.
Founder Watson Matsa says banks often lack information about farmers’ soil, climate, crops and finances.
The company aims to build ongoing risk management for smallholder farmers, which Matsa says is generally lacking.
Matsa previously worked in credit analytics at FNB and studied economics and accounting at Rhodes University.
- Who
- eSusFarm Africa, founded by Watson Matsa.
- What
- It gathers farm-related information to help banks assess smallholder farmers and make financial decisions.
- When
- Not stated.
- Where
- Not stated. Matsa was interviewed in Nairobi.
- Why
- Matsa says there is not enough information about small farmers for capital to flow to them.
This story does not have two clearly opposing sides.
Matsa encountered the idea that information can unlock capital and began considering the lack of information in Africa.
Matsa worked in credit analytics at FNB, on projects aimed at improving credit scoring.
Matsa and his co-founder applied the idea to agriculture and started eSusFarm Africa.
Matsa spoke about farmers and banks at the Somerset Westview Hotel in Nairobi.
- Founder
- Watson Matsa
- Company
- eSusFarm Africa
- University
- Rhodes University
- Former employer
- FNB
- Farm data identified
- Soil, climate, farmer-reported and crop information
What people are saying
There isn’t enough information flowing fairly for capital to flow.
Banks, he says, are built around the neatness of a salary arriving every month.
Perhaps, he suggests, farmers are not the problem. Banking is simply too rigid.
Sources
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