Luanda, 21/07/2023 -(MAP)- The Angolan government and the World Bank (WB) have signed a partnership agreement aimed at improving access to agricultural insurance products and protecting farmers against the vagaries of climate change.

The agreement was initialed Thursday in Luanda by the Angolan Minister of Finance, Vera Daves, and Sérgio Pimenta, Vice President of the International Finance Corporation (IFC), a branch of the WB group.

According to an IFC statement, this new partnership will help Angolan insurance companies develop insurance products that meet the specific needs of local farmers.

This category « makes a significant contribution to the country’s economy, but remains vulnerable to fluctuating climatic conditions and extreme weather events, » adds the same source.

The institution said that increasing the penetration of agricultural insurance in Angola is essential to protect against heavy agricultural production losses and preserve farmers’ assets, which is important for creating national wealth.

Agriculture is an important contributor to the Angolan economy, accounting for 10% of GDP and providing jobs for a large number of young people. However, the agricultural potential of the country remains under-exploited given its favorable climate and the availability of agricultural land.