‼️The Problem

It is very worrying to know that according to the World Bank, a quarter of the global population is excluded from the traditional financial system. Their only source of working capital is the small cash loans they sometimes get within their own communities, often paying more than 100% annual interest for extremely scarce money.

The worst thing about it is that 70% of these unbanked people are small farmers who live in poverty despite producing a third of the world's food.

This exclusion is particularly concentrated in long-term agricultural financing, for which 98% of global demand remains unmet (almost $1 trillion dollars).

Its social, economic and environmental consequences have a global reach and are very severe: migration, poverty and deforestation to name a few, so it is crucial to implement an immediate solution with short and long-term results, because agriculture is key to climate change.

Coffee is a clear example of the asymmetry of current supply chains, where the small producer is the weakest link: 80% of all the coffee in the world is produced by small farmers who cultivate an average of 2 hectares each, but Banks and microfinance institutions do not serve them, even though coffee is one of the most traded commodities on the stock market.

This is mainly because their lands do not qualify as commercial collateral and their lack of connectivity prevents the generation of data.