Project to establish an incentive-based risk-sharing system for agricultural loans (GAMIRSAL)

The Gambian Government’s Incentive-Based Risk Sharing System for Agricultural Loans (GAMIRSAL) project is a strategic initiative of the Gambian government, supported by the African Development Bank, to strengthen access to finance in the agricultural sector. It establishes an innovative institutional and financial infrastructure designed to mitigate risks associated with agricultural loans and stimulate private investment in rural value chains. The system is based on a guarantee and risk-sharing mechanism that encourages commercial banks and microfinance institutions to increase their loan portfolios to benefit producers, SMEs, and agricultural cooperatives. The project adopts an integrated approach combining technical assistance, institutional support, and the development of financial products tailored to the agricultural sector.

• Increase access to agricultural credit Facilitate the granting of loans by financial institutions to actors in agricultural value chains through risk sharing. • Strengthen institutional capacity Improve the skills of banks and financial institutions in agricultural analysis, portfolio management, and climate risk. • Improve the governance of agricultural businesses Support farmers and businesses in structuring, credit management, and addressing climate risks. • Stimulate private investment and agricultural transformation Promote the modernization of agricultural sectors, increased productivity, job creation, and a more resilient agricultural sector.