Chapter 6 – Considering the “S” in ESG – agriculture and inclusive finance
The case for financial inclusion in South Africa’s agriculture sector is compelling, particularly given that around 16 million hectares of land have been transferred through land reform programmes, and a further 16 million hectares is communal land with untapped agricultural potential. This indicates that substantial agricultural resources exist within the developing sector, and growth in agriculture will largely depend on increasing the productivity of these resources.
Large tracts of high-potential communal land in Limpopo, KZN, and the Eastern Cape could add to the growth – innovative inclusive finance instruments are one of the key factors required to unlock this growth.
Figure 6
Source: BFAP, 2017
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