Home > CNAAS / LBA – Credit and Insurance Association
Objective
Reducing climate risks for farmers through financial mechanisms
Description
The credit-insurance partnership between La Banque Agricole and CNAAS constitutes an innovative financial instrument for agricultural risk management in Senegal. This mechanism combines access to agricultural credit and climate risk coverage to protect producers against hazards such as droughts and floods. It is based on a multi-stakeholder governance structure, with capital primarily held by the State of Senegal, private insurance companies, La Banque Agricole, and producer organizations, reflecting a partnership approach between public, financial, and agricultural actors. Based on index-based insurance mechanisms adapted to agro-ecological zones, this instrument aims to strengthen the resilience of farms, improve access to financing, and reduce the risk of default related to climate shocks.
Country
Senegal
Ladder
National
Nature
Financial
In which law/program is this instrument included?
Chronology of the instrument
1984
Creation of the National Agricultural Credit Fund of Senegal (CNCAS), later to become the Agricultural Bank. (CNCAS / LBA)
1985
CNCAS officially begins operations with the opening of its main branch in Dakar. (CNCAS)
2008
Creation of the National Agricultural Insurance Company of Senegal (CNAAS) as a public-private partnership. (CNAAS)
Favorable opinion from the CIMA Regional Insurance Control Commission. (CRCA / CIMA)
2009
Official approval of the CNAAS by decree no. 01289 of the Minister of Economy and Finance. (Ministry of Economy and Finance)
2012
Gradual rollout of index-based agricultural insurance programs in Senegal. (CNAAS / ENDA Energy)
2017
Group index-based climate insurance policy for the cotton sector, managed by CNAAS with support from BOAD and Finactu. (CNAAS / BOAD / Finactu)
2019
CNCAS is changing its name and visual identity to become La Banque Agricole (LBA).
2020
La Banque Agricole has been accredited as a national entity providing direct access to the Green Climate Fund
2021
The Green Climate Fund and La Banque Agricole have signed a framework accreditation agreement. (Green Climate Fund / LBA)
2023
Entry into force of the framework accreditation agreement for La Banque Agricole. (Green Climate Fund / LBA)
2025
Approval of the FP262 program, a financing mechanism designed to promote climate-smart agriculture, including sustainable credit and index-linked insurance. (Green Climate Fund / LBA)
2026
Partnership between AXA Senegal, LBA, and CNAAS around the FAGARU+ micro-insurance product backed by agricultural credit. (AXA / LBA / CNAAS)
