A debt facility that uses AI to connect lenders with innovative companies developing organic fertilizers, cover crops, and other sustainable solutions. By tackling market access barriers, it unlocks the potential of bio-inputs and intermediaries, ultimately accelerating farmers’ transition to regenerative practices.

Regenerative practices are crucial for enhancing soil resilience and mitigating the impacts of climate change. However, the market for agricultural inputs is dominated by a few large companies with limited incentives for change. Emerging companies promoting regenerative practices face significant market access barriers. In Brazil, over 90% of agricultural supply sales rely on seasonal credit, which limits resources for new companies to gain traction. Additionally, conventional credit analysis methods restrict access to funds, hindering the widespread adoption of innovative agricultural enterprises.

Growth Next-Generation Agriculture (GAN) revolutionizes agricultural finance by redefining risk assessment through AI-driven credit analysis, breaking barriers of traditional methodologies. The solution curates companies, conducts qualitative studies, and evaluates growth potential. At the heart of this innovation lies a robust tech stack tailored specifically for agriculture, seamlessly supporting the credit analysis process and dynamically assessing eligibility criteria. This dynamic approach is further fortified by a dedicated credit and impact committee, ensuring allocation of funds while propelling the transition from conventional guarantees towards portfolio diversification. By facilitating greater access to capital and expediting sales, GAN catalyzes the acceleration of sustainable progress within tropical agriculture.

GAN’s financing of regenerative agricultural and livestock practices, such as minimal tillage, cover cropping, and rotational grazing, aims to enhance soil health, biodiversity, and water conservation. According to the idea proponents Traive Finance and Folio Institute, anticipated outcomes include contributing to carbon sequestration, reducing greenhouse gas emissions, and bolstering resilience to extreme weather events, aligning with IPCC recommendations for the AFOLU sector in climate mitigation and adaptation efforts.