DOF secures IFAD financing for agrarian value chain project

Finance Secretary Ralph G. Recto has secured PHP 4.69 billion in financing from the International Fund for Agricultural Development (IFAD) to implement the Value Chain Innovation for Sustainable Transformation in Agrarian Reform Communities (VISTA) project, aimed at alleviating poverty in 86 agrarian reform communities across SOCCSKSARGEN and the Cordillera Administrative Region (CAR).

“This project is a holistic and targeted poverty-fighting solution that addresses the complex realities faced by our agrarian communities,” Recto said during the ceremonial exchange of the financing agreement on Sept. 6, 2024.

The VISTA project seeks to reduce rural poverty and increase resilience in poor, vulnerable upland areas by strengthening value chains and promoting sustainable natural resource management.

The initiative focuses on ecosystem planning, sustainable value chain development, and robust project management.

“This will create more jobs and businesses, increase incomes, and provide stronger protection against climate change,” Recto saids.

“We will also cultivate a new breed of entrepreneurs in coffee and cacao production.”

The project, with a total cost of PHP 6.23 billion, will benefit 52 agrarian reform communities in CAR and 34 in SOCCSKSARGEN. It aims to reach approximately 350,000 upland residents over six years.

“This innovative and inclusive project reflects our vision for a nation where every Filipino has the opportunity to build better futures,” Recto added.

IFAD Vice President Gerardine Mukeshimana and United Nations Philippines Resident Coordinator Gustavo González praised the initiative’s alignment with national priorities, including climate action and disaster resilience.

“This project will pave the way for stability in the regions,” Department of Agrarian Reform Secretary Conrado Estrella III said, pledging judicious use of funds.

The agreement was originally signed on July 10, 2024.