The Agricultural Finance Corporation and DanChurchAid have launched a financing model for solar-powered cold storage. The partnership aims to cut post-harvest losses and boost farmer profits.

The Agricultural Finance Corporation (AFC) and DanChurchAid (DCA) have launched an innovative financing model under the From Loss to Value Creation (L2V) Project. The partnership aims to transform Kenya’s horticultural sector by making solar-powered cold storage facilities accessible and affordable for farmer cooperatives.

The agreement was signed by DCA Country Director Karen Poore and AFC Managing Director George Kubai. The collaboration is set to help smallholder farmers preserve their yields, access premium markets, and boost their profitability by tackling post-harvest losses.

Under the partnership, AFC will provide tailored financial solutions that align loan repayments directly with agricultural production cycles. This approach ensures that farmers can repay their loans when they have income from their harvests, rather than being forced to repay during lean seasons.

DanChurchAid is establishing a Guarantee Fund to share lending risks and promote responsible credit access. The fund will make it easier for cooperatives to access financing by reducing the risk for AFC. This is particularly important for smallholder farmers who often lack traditional collateral such as land titles.

The partnership also includes technical support to provide farmer cooperatives with the capacity and training needed to manage modern cooling infrastructure successfully. Farmers will learn how to operate and maintain the solar-powered cold storage units.

The Agricultural Finance Corporation has been at the forefront of agricultural lending in Kenya for nearly a century. The institution has transformed its operations through partnerships with development organizations and government programmes. Its wholesale lending model has scaled rapidly, reaching hundreds of thousands of borrowers across the country.

AFC lends at a fixed interest rate, making it more affordable for farmers compared to commercial banks. The institution has also been recognized for its commitment to sustainability and financial inclusion.

The partnership with DanChurchAid aligns with AFC’s commitment to financial inclusion, climate-smart agriculture, and national food security. It also builds on AFC’s existing work with women and youth, including a women-only facility that focuses on female farmers.

Post-harvest losses remain a major challenge for Kenyan farmers. Estimates suggest that up to 50 per cent of harvests are lost due to poor storage and handling. Solar-powered cold storage facilities can significantly reduce these losses by keeping produce fresh for longer periods.

The Agricultural Finance Corporation and DanChurchAid partnership is a significant step towards building a more resilient and profitable future for Kenyan farmers. The collaboration will help farmers access the financing and technology they need to reduce losses, access better markets, and earn higher incomes.

The work is underway, and the farmers are ready. The partnership is here. The transformation is happening now.

https://farmerstrend.co.ke/farming-news/agricultural-finance-corporation-and-danchurchaid-partnership/https://farmerstrend.co.ke/wp-content/uploads/2026/06/Agricultural-Finance-Corporation-and-DanChurchAid-Partner-to-Finance-Solar-Cold-Storage-for-Farmers-1024x683.jpeghttps://farmerstrend.co.ke/wp-content/uploads/2026/06/Agricultural-Finance-Corporation-and-DanChurchAid-Partner-to-Finance-Solar-Cold-Storage-for-Farmers-150x150.jpeg2026-06-30T18:50:04+00:00FarmersTrendFarming NewsThe Agricultural Finance Corporation and DanChurchAid have launched a financing model for solar-powered cold storage. The partnership aims to cut post-harvest losses and boost farmer profits.The Agricultural Finance Corporation (AFC) and DanChurchAid (DCA) have launched an innovative financing model under the From Loss to Value Creation (L2V) Project. The...FarmersTrendjohn doefarmerstrend@gmail.comAdministratorFarmers Trend Ltd.