Cassava is one of the most important food crops in Tanzania and across East Africa. It is also an important source of food and income for an estimated 1.9M smallholder farmer households in Tanzania, including roughly half of farm households in the Kigoma region.
We profiled a cluster of 9 small and medium enterprises (SMEs) in Northwestern Tanzania that are accessing their first loans to purchase cassava from 1,980 smallholder farmers. These SMEs received loans from Tanzania Commercial Bank (TCB), who were originally deterred from lending to cassava enterprises in this region due to the far proximity from its closest branch and limited fixed assets for collateral. Aceli’s financial incentives helped TCB overcome these barriers to lending to this market segment, and the bank is now preparing for a second round of loans in June 2023.
