Press release number: IFAD 26/05

Rome, 24 May 2005 - The President of Mali, Amadou Toumani Touré, visited the headquarters of the International Fund for Agricultural Development (IFAD) where he was received by the President of IFAD, Lennart Båge. The purpose of the meeting was to discuss development issues and the problems facing Mali in reducing poverty.

A new loan agreement was signed for a development programme in the northern regions of the country where extreme poverty had contributed to an armed conflict during the 1990s. As part of a peace settlement, the Government pledged to promote economic development in the area. The Northern Regions Investment and Rural Development Programme will help to reduce poverty among farmers, nomadic herders and other vulnerable groups in the northern regions of Tombouctou and Gao. The loan agreement was signed by IFAD President Båge and the Minister of Foreign Affairs of the Republic of Mali, Moctar Ouane.

“The conditions of northern Mali are extremely challenging, including vast stretches of desert, limited infrastructure and low population density,” said IFAD President Båge. “The Government asked us to lead efforts in the north given our experience in intervening in difficult areas. This programme is a sign of our commitment to do that.”

IFAD is supporting the US$33.6 million programme with a US$14.6 million loan and a US$803,000 grant. The programme is also receiving cofinancing from the West African Development Bank and the Belgian Survival Fund.

The programme will help community members to gain skills in organizing themselves into groups, ensuring their voices are heard during local planning of poverty reduction activities. Local administrations will strengthen their ability to identify, plan and implement activities that truly meet the needs of rural poor people. IFAD funds will contribute to financing these activities.

The main focus of the programme will be to increase crop and livestock production. Farmers will use irrigated plots of land to grow rice and vegetables. Nomadic herders will gain increased access to watering points for their animals, fodder and animal health services. By reducing the vulnerability of farmers and nomadic herders, the programme will allow them to better manage the limited availability of land and water. Improvements will also be made in basic services including safe water, sanitation, health services and disease prevention, especially HIV/AIDS.

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IFAD is a specialized agency of the United Nations dedicated to eradicating rural poverty in developing countries. Seventy-five per cent of the world’s poorest people – 800 million women, children and men – live in rural areas and depend on agriculture and related activities for their livelihoods. Through low-interest loans and grants, IFAD works with governments to develop and finance programmes and projects that enable rural poor people to overcome poverty themselves.

There are 192 ongoing IFAD-supported rural poverty eradication programmes and projects, totalling US$6.5 billion. IFAD has invested about US$2.8 billion in these initiatives. Cofinancing has been provided by governments, beneficiaries, multilateral and bilateral donors and other partners. At full development, these programmes will help more than 100 million rural poor women and men to achieve better lives for themselves and their families. Since starting operations in 1978, IFAD has invested almost US$8.7 billion in 690 projects and programmes that have helped more than 250 million poor rural men and women achieve better lives for themselves and their families. Governments and other financing sources in the recipient countries, including project beneficiaries, have contributed about US$8.4 billion, and multilateral, bilateral and other donors have provided about US$6.9 billion in cofinancing.