Smart-Irrigation-as-a-Service Financing Vehicle | Climate Finance, Thailand 2018
SEED Practitioner Labs Climate Finance in Thailand engaged financial institutions, funders, intermediaries and other SME ecosystem stakeholders over a multi-step process to co-create innovative climate finance products and mechanisms that extend access to long-term financing opportunities for “missing middle” small and growing climate-smart enterprises that struggle to advance beyond the start-up stage and multiply their contributions to climate-smart and socially inclusive economies.
The Smart-Irrigation-as-a-Service Financing Vehicle directs deal flow for drip-irrigation systems to improve productivity and climate adaptation capacities to small and growing agri-enterprises. This financial instrument offers microfinancing solutions to lower investment risks in agricultural process improvements for both farmers and financial institutions. Investment in irrigation systems reduces the dependency of smallholders on unpredictable and less climate-resilient, rain-fed production or pipe irrigation while significantly increasing crop yields and commercialisation potential.