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iFarmer secured Pioneer Facility's first investment in Bangladesh
The Pioneer Facility, an impact fund managed by Nexus for Development, has announced a $500,000 investment to iFarmer, a leading agri-tech company in Bangladesh. The three-year loan will provide critical working capital to iFarmer, enabling it to procure agricultural produce from smallholder farmers and purchase essential agricultural inputs directly from manufacturers for farmers.
This investment marks Pioneer Facility’s first move into Bangladesh since expanding its country focus in 2024. The Singapore-registered fund provides flexible debt financing to growth-stage climate enterprises driving social and environmental impact for marginalized communities.
This debt investment marks an important milestone for Bangladeshi startups looking for impact funds and venture debt. As this is Pioneer Facility’s first investment in Bangladesh, the lessons learned from this deal and the expected results could mean additional funds for iFarmer and other impact-focused businesses in the country.
iFarmer empowers smallholder farmers by providing them with access to high-quality agricultural inputs, financial support, agri advisory and fair market linkages. By bridging the gap between farmers and suppliers as well as the financial gaps between farmers and banks and market access, iFarmer helps improve yields, enhance incomes, and promote sustainable agriculture practices.
“The Pioneer Facility addresses critical funding gaps for high-impact climate enterprises, and we saw a significant opportunity to expand into Bangladesh, where innovative businesses like iFarmer are already delivering great results. By increasing the flow of capital to this market, we can help more enterprises grow, drive sustainable development, and create lasting social and environmental benefits.”
“Smallholder farmers in Bangladesh face persistent challenges in accessing affordable financing and quality inputs,” said Laura Alsenas, Executive Director at Nexus for Development. “iFarmer’s innovative model is transforming agricultural supply chains and improving economic opportunities for farmers. Our investment will help scale their impact, ultimately contributing to more resilient and sustainable food systems.”
The Pioneer Facility’s mission is to drive climate-positive impact through catalytic debt financing. By supporting companies like iFarmer, the fund plays a key role in fostering inclusive economic growth and climate resilience in emerging markets.
“With this funding from the Pioneer Facility, we can expand our reach and support even more farmers with better access to financing and high-quality inputs,” said Fahad Ifaz, Co-founder & CEO at iFarmer. “This investment will help strengthen our supply chains and enhance the livelihoods of thousands of farmers across Bangladesh.” Nexus for Development, through the Pioneer Facility, continues to seek and support high-impact enterprises that operate at the intersection of climate, gender, and poverty alleviation.
The Pioneer Facility offers flexible debt financing for climate enterprises across Southeast Asia and Bangladesh, to date over $3.7 million has been disbursed from the fund.
For more information on the Pioneer Facility, visit:
www.nexusfordevelopment.org/campaign
