Grenada

The Context

Grenada is a small middle-income island in the Caribbean. Over the past two decades, its economy has shifted from agriculture to services, driven by tourism and construction. It is the world's second-largest producer of nutmeg and also produces cinnamon, ginger and clove.

Despite high human development indexes, 25 per cent of people still live below the poverty line. Unemployment, especially among women and youth, remains high. Rural poverty is driven by a lack of access to productive organizations, education, markets and financial services.

Grenada is dependent on food and oil imports, leaving it highly vulnerable to price fluctuations.

Tropical storms and hurricanes regularly cause serious damage to infrastructure and perpetuate the cycle of poverty. Grenada’s mountainous, volcanic topography can lead to severe soil erosion.

The Strategy

IFAD reduces rural poverty by increasing employment and income levels, and by promoting climate-smart agricultural practices.

Key activities include:

• increasing agricultural production and exports;

• strengthening the links between agriculture and tourism;

• enhancing food security by reducing food imports;

• strengthening resilience and improving preparedness to climate change;

• investing in infrastructure and human resource capacity development; and

• fostering partnerships.