Value Chain Finance (RAFI Note #2)

RAFI (Rural & Agricultural Finance Initiative) Note #2 provides an overview of the nature and potential of value-chain finance, as well as some of the lessons learned in using value-chain finance to promote agricultural sector development. It profiles some common forms of value-chain finance, discussing the advantages and limitations of each. The note closes by highlighting the implications for program design, drawing on recent experience using value chain analysis in Mozambique.