AFRACA is a regional association of financial and non-financial institutions involved in promoting rural and agricultural finance in Africa. The association comprises of central banks, commercial banks, government institutions, microfinance institutions, development partners etc.
Established in 1977 as a lead advocate and coordinator of rural and agricultural finance in sub-Saharan Africa. The concept of Regional Agricultural Credit Associations (RACAS) finds its origin in the FAO sponsored Regional seminar on Agricultural Credit for small-holder farmers held in Accra, Ghana in 1973.
Subsequently, the world food conference on credit for small holder farmers in developing countries, held in Rome 1975 recommended that FAO should assist its member countries establish such associations in different regions in the globe. This resulted in the founding of three regional credit associations: AFRACA for Africa, NENARACA for Near East and North Africa, APRACA for Asia and the Pacific and CACRA for the Caribbean, later a similar association The Latin American Association of Development Financing Institutions (ALIDE) was established for the Latin American Region.
The AFRACA secretariat is based in Nairobi, Kenya where it was registered under the NGOs Coordination Act in 1981 and received diplomatic status in 2003.