Kenya Launches Sh1.47T AgriConnect Plan

by KenyaPolls

Kenya has launched an ambitious national agriculture transformation agenda designed to modernize the sector through technology, private investment and climate-smart farming, with the goal of strengthening food security, generating millions of jobs and supporting economic growth.

During the official unveiling of the Kenya AgriConnect Compact (2025–2030), Cabinet Secretary for Agriculture and Livestock Development Mutahi Kagwe described the programme as a major plan to shift agriculture from subsistence farming to a modern, technology-led and commercially competitive industry.

Kagwe said the AgriConnect Compact treats agriculture as more than a basic livelihood activity, presenting it as a climate-resilient, investment-ready and technology-driven sector capable of supporting inclusive economic transformation.

The five-year strategy is meant to raise agricultural productivity, strengthen value chains, expand market access and improve the sector’s ability to withstand climate-related pressures.

A major element of the AgriConnect Compact is the use of digital tools across agricultural value chains. The government intends to introduce digital extension services, create agritech platforms for product traceability and apply advanced processing technologies to cut post-harvest losses, which cost Kenya billions of shillings each year.

Officials say modern technology will improve efficiency, boost productivity and connect farmers more directly with markets, helping raise incomes and strengthen competitiveness.

To support the compact, the government has pledged about USD 3.8 billion, or roughly KSh 490 billion, in catalytic public financing. The funds are expected to attract an additional USD 7.6 billion, about KSh 980 billion, in private-sector investment, bringing the five-year portfolio to nearly USD 11.4 billion, or KSh 1.47 trillion.

Kagwe said the financing model was structured to reduce investment risks and create conditions that encourage private capital to participate.

He described the AgriConnect Compact as a deliberate, strategic and urgent framework that aligns public investment with private-sector ambition, adding that public financing will support foundational systems and public goods while attracting large-scale private investment.

The framework includes public-private partnerships, blended financing and credit guarantees intended to make agricultural lending more attractive to investors. Priority value chains include dairy, edible oils, horticulture and other high-growth agricultural enterprises.

The reforms also aim to reshape agricultural markets through infrastructure development, digital trading platforms and structured marketing systems that improve price transparency and reduce farmers’ exploitation by middlemen.

Officials expect the measures to cut Kenya’s dependence on imported food staples such as maize and rice by 50 percent while raising exports of high-value agricultural products by 60 percent.

Government officials said stronger local production and more efficient markets will significantly support national food security and improve Kenya’s competitiveness in international markets.

Employment creation is one of the compact’s central goals. The strategy targets the creation and upgrading of about 2.482 million jobs by 2030, with a focus on young people entering the labour market.

The new opportunities are expected to arise in agro-processing, logistics, digital agricultural supply chains, agribusiness management and other agriculture-related enterprises.

Kagwe emphasized that the initiative is intended to create meaningful jobs while improving livelihoods across the country.

He said the jobs created would offer dignity and that improved food security would ensure no Kenyan goes hungry.

The launch drew senior representation from national and county governments, reflecting broad political support for the initiative.

Those present included Mutahi Kahiga, Governor of Nyeri County; Nathif Jama Adam, Governor of Garissa County; Joseph Ole Lenku, Governor of Kajiado County; Deputy Governor Mathew Ochieng; and representatives from development agencies, financial institutions and private-sector organizations.

Key partners supporting the initiative include the World Bank Group, International Fund for Agricultural Development, African Development Bank, Gates Foundation, Alliance for a Green Revolution in Africa, the U.S. Embassy Nairobi, Embassy of the Netherlands in Kenya, German Embassy Nairobi, GIZ, U.S. Chamber of Commerce, British Chamber of Commerce Kenya, Kenya Private Sector Alliance, the Kenya Association of Manufacturers and the Agriculture Sector Network.

With the technical framework completed and political support secured, officials said the agricultural sector is opening new opportunities for investors and businesses.

Kagwe said Kenya has the strategy, financing framework and leadership commitment needed to make agriculture a major driver of economic growth.

He added that the country now needs private-sector action to move the transformation agenda forward.

The AgriConnect Compact is among Kenya’s most comprehensive agricultural reform programmes in recent years and marks a renewed national effort to achieve food self-sufficiency, job creation and sustainable economic growth through a modernized agriculture sector.

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