The Context

A prolonged economic and political crisis in Venezuela has resulted in the lowest GDP per capita in 40 years. Government spending is high and foreign reserves are decreasing, with a heightened risk of hyperinflation. It is the second poorest country in the Latin America and the Caribbean region. 

Eight in ten people live in poverty, seven in ten of whom live in extreme poverty. Moreover, rural people face low productivity and lack of access to markets, extension services and public amenities. 

Venezuela must optimize its available economic resources to reduce inequalities and generate a robust productive base that is less dependent on oil and subsidies.  

Agriculture is a priority for Venezuela in order to improve domestic food supply. However, the sector faces low production, arid soils, water scarcity and vulnerability to climate change. 

The Strategy

IFAD invests in infrastructure and processing equipment to improve added value on agricultural products and facilitate market access. Key activities include: 

• promoting food security; 

• boosting smallholder productivity and quality of produce;  

• providing technology, training and extension services to community and producer organizations.