Scaling of AgTech innovations for food security in India, Indonesia, and Kenya

• Jul 26, 2025
• 1 min

The adoption of technology is critical to address food security challenges in low- and moderate-income countries (LMICs). However, despite the increasing availability of mobile technology and lower data costs, the adoption of agricultural technology (AgTech) remains low. Currently, only about 50 million smallholder farmers, or 10% of the total smallholder farmers in LMICs, have access to AgTech solutions. Financial barriers, limited investment, and inadequate support from financial service providers prevented the scale-up of AgTech innovations.

MSC was engaged to identify effective financial solutions that can drive the growth and adoption of AgTechs in LMICs. We conducted a rapid landscape study in India, Kenya, and Indonesia to analyze the AgTech ecosystem and assess financial solutions. We mapped key stakeholders, evaluated existing financial models, and assessed their impact in overcoming adoption barriers. We developed an analytical framework to identify the most effective financial solutions and the conditions necessary for their success. We used our Market Insights for Innovation and Design (MI4ID) framework to incorporate insights from consultations with stakeholders and ensured a comprehensive understanding of the challenges and opportunities in AgTech financing.

Based on these findings, MSC provided practical recommendations for donors, development agencies, financial service providers, and governments. These recommendations focused on the design and implementation of programs that support financial solutions for AgTechs.

The Consultative Group to Assist the Poor (CGAP) commissioned this project.