Evaluation of FAO's contribution to Sustainable Development Goal 2 - Support to agricultural investment

Agricultural investment is key to achieving Sustainable Development Goal 2 (SDG 2). This study – part of the evaluation of the role of the Food and Agriculture Organization of the United Nations (FAO) in supporting SDG 2 – examines the FAO Investment Centre’s role in promoting agricultural investment in Africa, focusing on investment programme design and implementation. The study finds that despite an increase in lending, international financial institutions have less and less capacity to prepare and supervise ever more complex operations and are particularly short of in-country capacity. This makes it difficult to contextualize interventions for sustainability and results. In-country specialists who understand and have experience of working with farmers are therefore needed, making the Investment Centre a critical resource. Notwithstanding recent infusions of support, however, it remains understaffed and underfunded.As far as the Investment Centre’s 2018 cooperative agreement with the African Development Bank is concerned, the study finds that while the Centre has undertaken some work under the agreement, financial and political constraints may be why it has not yet gained significant programmatic traction.It also finds that the Centre’s World Bank partnership is strong, but faces a number of challenges. The Investment Centre is working with the Office of FAO’s Chief Economist to develop a programme of engagement, which will give World Bank country managers the data they need to make informed decisions on agricultural investment. The study also calls for greater FAO senior management and country office support in FAO’s interactions with the World Bank.