The International Fund for Agricultural Development (IFAD) launched its next replenishment cycle that will guide IFAD’s investments in the years ahead, during its 49th Governing Council (GC) meetings in Rome. These discussions, which began in mid-February, set the stage for a second round of negotiations ahead of summer, aiming to define clearer funding scenarios for the 2028–2030 cycle. IFAD President Álvaro Lario noted that while the previous replenishment, IFAD13, set a record with $1.7 billion, out of which $1.4 billion in grants and $300 million in concessional loans, it represents a baseline from which the Fund hopes to expand. “So for us, that’s the base we would like to build on,” said Lario to Devex.
Over two days of dialogue, the GC focused on governance, strategic direction, and partnership. The theme of the meeting, “From Farm to Market – Investing with Young Entrepreneurs,” highlighted the critical role young people and women play along the agricultural value chain, particularly at the “first mile,” where the gap between farmers and financial institutions is often the widest. “Investing in young entrepreneurs is therefore not a choice, but a necessity if we are to build sustainable and resilient food systems,” said Lario during the GC. By focusing on youth employment, women’s empowerment, and market integration, IFAD aims to unlock the transformative potential of small-scale farmers, who form the backbone of global food security.
IFAD14 promises to be a high-impact investment opportunity, particularly in an era of global uncertainty, driven by geopolitical tensions and structural challenges. With nearly 50 years of experience transforming rural economies. IFAD has demonstrated the power of investing in the “first mile” of food systems. In the past three years, IFAD-supported initiatives have enabled $49 million people to increase their incomes, $39 million to improve market access, and $40 million to boost production. According to IFAD’s recent impact assessment, “IFAD beneficiaries saw their income grow by34 per cent on average, while their productive capacity went up by an average of 35 per cent and their access to markets improved by 34 per cent.”
Sweden, a founding IFAD member since 1977, exemplifies committed support for global food security and sustainable rural development. It is noteworthy that Swedish investors account for around 34 per cent of all IFAD sustainable bond investments, highlighting the country’s central role in mobilizing private capital for rural transformation. Sweden provides 615 million Swedish Krona (SEK) to IFAD for the period 2025-2027, continuing its legacy of aligning national priorities with IFAD’s mission. Moreover, when in 2022, after obtaining two AA+ credit ratings in 2020, IFAD entered capital markets and started issuing sustainable development bonds to fund transformative development projects.
Sweden facilitated a seven-year one billion SEK sustainable development bond issuance in 2024, targeting investors such as the insurance companies Skandia and Folksam. This bond reflects Sweden’s focus on sustainable finance and food security, leveraging private capital to support rural transformation in developing countries. Moreover, in 2025 IFAD issued its tenth sustainable bond for 900 million SEK to Kåpan, a pension fund, and Skandia. Through low-interest loans and donations, IFAD supports people in poor and disadvantaged rural areas, such as women smallholder farmers and vulnerable groups. More recently, “IFAD started 2026 strongly“ by issuing its thirteenth sustainable bond, a SEK 750 million private placement purchased by Skandia, acting as lead investor for the third time, alongside two new investors: AP3 and Kammarkollegiet.
IFAD14 invites Member States to contribute through core resources, climate-focused contributions, and concessional partner loans. Non-member states and other partners are encouraged to provide special contributions.
According to the replanishment framework, IFAD14’s priorities are deeper market integration, expanded rural employment, especially for youth, and strengthened resilience to climate, conflict, and economic shocks and will be realized through country-led programmes supported by private sector engagement and innovative approaches.
As IFAD prepares for IFAD14, its goals extend beyond funding targets. They encompass a broader mission: to empower young people and women, stimulate rural economies, integrate sustainable practices across food systems, and mobilise innovative financing. The active participation of Sweden and private partners underscores the growing recognition that public-private collaboration is essential for achieving these objectives.