AFRACA in collaboration with the UNâs Food and Agriculture Organization and State Department for Fisheries, Aquaculture & the Blue Economy held the National Small-Scale Fisheries and Finance Stakeholdersâ Workshop from 11-12 August 2021 at Beaumont Resort, Mombasa, Kenya. The workshop aimed to support fishing enterprises in Kenya access financial services and to share findings of a baseline study commissioned by AFRACA & FAO on Credit, Microfinance & Insurance needs of fishers in Mombasa, Kwale and Kilifi counties.
The Chief Guest Mrs. Lucy Obungu, Fisheries & Blue Economy Secretary, State Department for Fisheries, Aquaculture and Blue Economy, Kenya lauded AFRACA and FAO for its efforts in encouraging the adoption of new technologies that will promote sustainable fishing practices in line with the Blue Economy agenda.
Mr. Thomas T. Essel, AFRACA Secretary General, urged different stakeholders particularly from the financial sector to prioritize financing the sector wealth and jobs for the youth.
The study findings reveal access to finance and insurance services is still a challenge to small-scale fishers (SSF) with majority depending largely on informal income sources and savings, family donations and grant support from government. High interest rates, existing perceptions of SSF as high credit risk, poor business plans, insufficient collaterals and lengthy loan application process are some of the reasons that inhibit SSF to seek credit from financial service providers.
The study recommends a clear definition of SSF, Increased uptake of insurance services by SSF for their fishing equipmentâs, formalization of fishing enterprises, good governance of Beach Management Units (BMUs), capacity building of SSF on good financial management practices whilst also addressing the negative perceptions of FSPs & the SSFs towards each other to build strong financial relationships.
Media coverage of the event: https://t.co/KFjsG9D7dh?amp=1