Six-year US$7.5 million market access and rural enterprise programme to benefit 50 rural communities

Rome, 30 March 2011­ – Representatives from the International Fund for Agricultural Development (IFAD) and the Government of Grenada signed a US$3 million loan today in Rome for a new poverty reduction programme that will benefit some 12,000 poor rural people in Grenada and Carriacou.

The six-year US$7.5 million Market Access and Rural Enterprise Development Programme will create jobs, improve market access, and support rural micro-enterprise development in 50 communities.  The Government of Grenada will provide US$2.2 million in co-financing, with the Caribbean Development Bank providing another US$2.3 million.

“Despite its relatively high Gross National Income, the rural areas of Grenada still suffer from high levels of poverty,” said Jaana Keitaanranta, IFAD Country Programme Manager for Grenada. “Families living in rural areas are also more vulnerable to natural disasters, have limited natural resources and few opportunities to find a job. With this in mind, we worked with the Government of Grenada to design a programme that will give young people new opportunities, reduce reliance on high-priced food imports by strengthening the agricultural sector, and promote entrepreneurship.”

Implemented by the Grenada Ministry of Finance, the programme seeks to improve access to financial services, strengthen community organizations and producers associations, and support a national advocacy campaign that addresses gender and youth issues.

“This programme signals a renewed commitment from IFAD in the Caribbean region, and will substantially contribute to the Government of Grenada’s goals of sustaining high economic growth, restoring fiscal and debt sustainability, reducing vulnerabilities, and alleviating poverty,” Keitaanranta said.

IFAD has supported rural poverty reduction projects in Grenada for 30 years with US$5.7 million in financing.

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Press release No.: IFAD/23/2011

The International Fund for Agricultural Development (IFAD) works with poor rural people to enable them to grow and sell more food, increase their incomes and determine the direction of their own lives. Since 1978, IFAD has invested over US$12.5 billion in grants and low-interest loans to developing countries, empowering more than 370 million people to break out of poverty. IFAD is an international financial institution and a specialized UN agency based in Rome – the United Nation’s food and agricultural hub. It is a unique partnership of 166 members from the Organization of the Petroleum Exporting Countries (OPEC), other developing countries and the Organisation for Economic Co-operation and Development (OECD).