Agri-Bonds to reduce food insecurity.

1. Agri-bonds for finance –Comoros Perspective.
•Comoros is a country that is a user of IDA Private Sector
Window. A country ranked amongst the fragile states. It
consist of three major islands.
•It has a small population of 798,000. Scaling up
micronutrient nutrition interventions in Comoros would
cost less than US 400,000 per year(Anon n.d.).
•To get this money would be a challenge to a country
that has limited access to finance, access to power,
political instable, weak governance ,poor judicial,
difficulty in doing business, war conflict and poverty,
natural disaster, unemployment no education, slow
economic growth weak tax
revenue,corruption,international just to name a few.

2. Agri-bonds for finance –Comoros Perspective.
• Food and agricultural production has been a key goal for the
Comoros. It has gone on and formed partnerships with
organizations. Food and Agriculture organization of the UN
(Fao n.d.) is one organization that has formed a partnership.
Main goal is to increase agricultural production especially
food and also protecting natural resources. Strengthening
data and information asymmetry is also a priority area.
• Comoros is a country that imports 40% of its food. Even its
staple food –rice is one of the imports. Intervention in this
sector is paramount to the needs of the citizens and overall
economic prosperity of the country. It is important to get food
security by boosting the agricultural sector

3. Agribonds for finance –Comoros Perspective.
• Islamic development bank has agreed to fund a three year
project to assist the small producers in advisory services to
intensify and diversify their production.
• The writer being a Development Finance specialist would seek
to create an agri-bond this would be issued by the Islamic
Development bank. Since it has experience in that region of
the world and conversant with the agricultural climate of the
Comoros.
• The bond would be issued to Multilateral banks, private
sector players and to the general public via mobile money
innovation.

4. Cont. Agribonds for finance –Comoros Perspective.
• With availing the different bond types to all players you give
yourself room to collect more money through Domestic
resources mobilization, you will also get more data ,with
inclusion of the private players you will not only receive
financial assistance but also technical skills that will assist the
sector grow.
• With the growth of mobile money that will reach greater
amount of people in the Comoros country bringing them into
the system which translate to data.

5. Cont. Agribonds for finance –Comoros Perspective.
• Through the collection of the funds. Distribution will be given
through the development bank this will ensure consistent
monitoring ,capacity building ,technical expertise, market
exposure, standardized operation that lead to growth
holistically.
• Once production is done and sold clients would then repay
the development bank then the development bank gives the
money to the farmers and repays the bonds. This leads to
circulation of money and data collection of the farmers
financials .This will reduce the overall food insecurity problem.

6. Cont. Agri-bonds for finance –Comoros Perspective.
• In conclusion, Agriculture bonds are important financial
interventions to the fragile states with the many hurdles like
weak government, weak institutions and regulations.
Innovation in this countries is key for their growth.
• Agri-bonds are a fast way to raise capital as the interest
incentive is a key to the buyers. They will also assist in
reducing food insecurity.

7. Referencing
• Anon, Comoros-World Bank. Available at:
http://siteresources.worldbank.org/NUTRITION/Resources/28
1846-1271963823772/comoros11211screen.pdf [Accessed
March 25, 2017].
• Fao, Boosting domestic food production. Available at:
http://www.fao.org/3/a-ax422e.pdf [Accessed March 26,
2017].