Target group
The main target group of this training programme are staff with responsibility in the AVCF strategy of their financial institution or assuming responsibilities in disbursing loans linked to the AVCs. Typically, this training will be of interest for Head Office staff involved in AVCF (in the credit risk department or in the "agricultural unit" of the FI) or, to a certain extent, to branch managers involved in AVCF.
In order to get the best out of this training programme the participant shall:
- Be involved / Have experience in SME financing – Possess a good understanding of risks involved in SME lending
- Have management experience (or being in preparation for a manager position) in the risk
department, or business development, agric unit, etc
- Have experience in the loan decision making process
• It is not necessary to have any experience in agribusiness, neither having a background in agriculture
• It is also not necessary to have experience as a loan officer.
• It is not necessary to have participated in the first training programme, but of course it is an advantage.

Objectives of the training
At the end of the training, the participants will be able to:
Module 3
1. Demonstrate an understanding of an AVC with examples in Uganda and Africa
2. Identify financing needs of AVCs and instruments to respond to their needs (in Africa)
3. Analyse a given agricultural value chain and its opportunities to set up an AVC financing scheme
Module 4
1. Appreciate risks involved in an AVCF
2. Demonstrate an understanding of the advantages of AVCF against stand-alone financing
3. Analyse the credit risks of a given value chain and how to mitigate these risks
Module 5
1. Design an AVCF strategy in a FI (how to make a business case, how to create the adapted policy)
2. Articulate the processes required to introduced or adjust a successful AVCF
3. Design adapted AVCF products for a given FI
4. Convince institutional stakeholders of the AVCF strategy
5. Communicate on AVCF strategy to the FI
6. Set-up the agro team with the right people (HR strategy)
Overview of training
AVCF – Strategies, Risks & Opportunities training focuses on technical skills that enable participants to set up AVCF schemes matching their FI framework, based on the specificities of their FI. This training will be adapted to the Ugandan context (with Ugandan examples and field visits), but focuses also on international best practices in the field of AVCF. It will be composed of three modules:
1. Agricultural Value Chains and processes to set up Agricultural Value Chain Financial schemes
2. Assessment of agricultural credit risks & mitigation tools
3. Institutionalization of agricultural policy, procedures and products
As for the first training programme, it is designed in a flexible manner in order to match the work life of the participants. A blended learning approach is applied, containing classroom training and field visits complemented by e-learning. Indeed, in total, the participants will require to take 10 full working days, 4 Saturdays and some time for the homework.
This training will also include many practical assignments and will enable the participants to "feel" and practice every topic related to AVCF.

Schedule of the Training Programme (AVCF – Strategies, Risks & Opportunities)

Module  Week Number  Mode of study  No of week days  No of hours (evenings or weekends) Saturday Days
3 1 Class room training 3   1
   2  Home Work  12    
   4  Field Visit   1  
4 6 Class room training 4   1
  7 Home Work      
  8 Field Visit     1
5 11 Class room training and Field Visits 3    
  12     12  
  14 Home work      
  15 workshop     1
  16 Final Exam     3
Three Modules 16 weeks   10 days 36 hrs 4 days


Course Coverage
Module 3
1. Specificities of financing the agricultural sector (compared to other sectors), including some of the
tools used to assess agricultural businesses
2. The agricultural value chain concept and how AVCF works
3. Evaluation of an FI regarding AVCF to identify what kind of AVCF is profitable and minimising the risks
4. AVCF market study adapted to a FI in order to set-up an AVC financing scheme
5. Analysis of the key success factors to finance AVCs in a FI
6. Mini market study to find out AVCF opportunities

7. Field Visits

Module 4
1. Risks linked to agriculture
2. Risks linked to the AVCs
3. Advantages of AVC financing vs. standalone financing
4. Assessment and management of risks of all players in one AVC
5. Tools to mitigate agricultural and AVC financing risks
6. Field Visits - Practice AVCF risks assessment and mitigation learned in class by visiting several kinds of players involved in one AVC

Module 5
1. Arguments to make the business case for AVCF in the FI
2. Policies in favour of AVCF
3. Forms of organisation possible to serve AVCs and - adaption the FI structure and operations to AVCF
4. Agricultural credit policies, how to create one and the importance of communication between HO and branches
5. Existing contractual arrangements and how to enforce them
6. Determination of the right (AVC) product set
7. Targeted customers for the AVCF lending
8. Designing of set products
9. Risks of AVCF if top management is not 100% committed and methodologies to help decision
makers understand these risks as well
10. HR issues in relation to AVCF
11. Launch AVCF strategy within the FI
Duration: 4 months
Dates: 20th March 2017 – 20th July 2017
14th August 2017 – 14th December 2017
Fees: UGX 7,600,000= (Uganda Shillings Seven Million Six Hundred Thousand Only)

Banking & Finance Skills