Kenyan farmers rely heavily on social networks and informal support systems to finance their agricultural activities, according to findings from the July 2026 Agriculture Sector Survey conducted by the Central Bank of Kenya.
Friends and family emerged as the primary source of credit, with 38 per cent of respondents turning to personal relations for farm financing.
Commercial banks ranked second, serving as a credit source for 21 per cent of farmers, closely followed by buyers of farm produce—such as coffee and milk off-takers—at 19 per cent.
Cooperative financial structures and digital platforms also play a notable role in funding agricultural operations. Savings and Credit Cooperative Societies (SACCOs) support 17 per cent of surveyed farmers, while digital loans—including services like M-Pesa and KCB M-Pesa—and informal savings and credit groups tied at 16 per cent each.
Traditional cooperative societies and informal money lenders both account for 9 per cent of farmer borrowing.
Specialised public credit facilities registered lower participation, with both the Agricultural Finance Corporation and the Hustler Fund utilised by 5 per cent of respondents respectively.
Other unspecified financing avenues were reported by 3 per cent of farmers, while Microfinance Institutions (MFIs) recorded 0 percent utilization among those surveyed.
