Investing in Farmers for Climate Resilience with Acumen’s Tamer El-Raghy

By Tamer El-Raghy 20 May, 2026

Growing climate volatility is destabilising global food production so El-Raghy explains why Acumen invests in smallholder farmers & how markets benefit

Data from Acumen's US$58mn resilient agro fund shows that up to 90% of farmers supported by its portfolio co's saw higher incomes & productivity plus greater resilience
Business solutions like irrigation, agronomy support & farmer financing can keep production reliable & reduce market volatility despite erratic rainfall & rising temps
Resilience is investable, not theoretical, but it takes blended finance & clear metrics to get there; stop treating adaptation as a cost centre!
Author: Tamer El-Raghy
Tamer has over 25 years of investment, entrepreneurial and innovation experience in Africa, Middle East, USA and Europe. As the founding MD of Acumen Resilient Agriculture Fund (ARAF); an impact fund that invests in Agri startups with business models that help farmers adapt to climate change, he led the team that invested in 14 companies that impacted more than two million farmers in East and West Africa. Prior to joining ARAF, he led responsAbility AG (rA) Agriculture PE in Africa and Cargill’s growth strategy and investment activities in Africa. He received an MBA from NYU Stern School of Business, a PhD in Materials Engineering from Drexel University and a B.Sc. in Metallurgical Engineering from Cairo University.
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Smallholder farmers are the backbone of food security as they produce one-third of the world’s food. But drought, floods and extreme heat are on the rise, and many farmers lack the financial resources to adapt to these changes.

Private capital can make a huge difference here – both for farmers and investors. Today we speak to Tamer El-Raghy, managing director at the Acumen Resilient Agriculture Fund (ARAF). This US$58mn equity fund is investing in early stage agribusinesses across Africa, so we ask him about how investors can support more climate resilient farmers, food systems, and economies. 

CWR: Hi Tamer, great to have you here. Acumen is making the case for investing in climate resilience – can you tell us more about the research you’ve done & what your key finding is?

Tamer El-Raghy (TER): Over five years of conducting nearly 5,700 surveys among smallholders, one finding stood out clearly: resilience is measurable, and it improves when farmers have stable income and access to climate-smart tools.

Farmers supported by the 12 agribusinesses in our portfolio reported higher productivity (89% of farmers), higher incomes (90% of farmers), and a stronger ability to recover from climate shocks like droughts, floods, or heat stress (33% of farmers with higher income). Our data confirmed what farmers have long known: climate resilience is about having the means to adapt, invest, and plan for the future, not just cope.

CWR: So then from your engagement with farmers, what stands out as the biggest factor contributing to their resilience?

TER: Income – it’s the foundation of resilience because it enables farmers to invest in their farms.

Higher + diversified incomes let farmers invest in building resilience for their farms

With higher and less volatile (diversified) income, farmers can invest in irrigation, better seeds, soil health, storage, and crop diversification, which reduces their vulnerability to climate shocks.

Our data show that farmers with higher incomes were significantly more likely to recover from climate events and emerge better off afterward. Additional income is the difference between climate resilience and communities of farmers forced to leave their land.

CWR: What types of resilience solutions do the agribusinesses in ARAF’s portfolio offer farmers? What benefits do the companies gain in return?

TER: The agribusinesses in our portfolio bundle solutions like irrigation, agronomy support, climate-smart inputs, farmer financing, and reliable market access with a primary priority of helping farmers become reliable producers.

Resilient farmers = stronger supply chains

We’ve learned that climate resilience is a key consideration for keeping supply chains stable. Bundled services help farmers stabilize production and income even in volatile conditions. More resilient farmers mean stronger supply chains, lower volatility, and better long-term growth, especially in emerging economies, where erratic rainfall and rising temperatures are already reshaping agricultural productivity.

CWR: Still, climate finance flows are skewed: for every $1 spent on climate mitigation, only $0.35 goes towards adaptation & resilience. What are the implications of this adaptation funding gap?

TER: This gap is critical because climate impacts are already here, especially droughts and floods, and smallholder farmers are on the front lines.

Underfunded adaptation = weaker food systems & more economic volatility

When adaptation is underfunded, farmers lack critical agricultural inputs and market access, which weakens food systems and increases volatility across economies.

For farmers, it’s the difference between staying productive or falling into crisis after a single failed season, and, for markets, it’s the difference between stability and disruption. Treating resilience as optional leaves both livelihoods and supply chains dangerously exposed.

CWR: Lastly, what’s your call for action to investors and funders to channel more capital into adaptation? What’s a piece of advice you have for them?

TER: For investors, the message is clear: resilience is investable, not theoretical, but it requires blended finance and clear metrics to get there. For public funders and DFIs, the priority should be to use concessional tools, guarantees, and targeted subsidies to crowd in private capital where risks remain mispriced.

If I had one piece of advice, it would be this: stop treating adaptation as a cost center and start financing what already works. The proof exists that we can boost agricultural productivity despite climate impacts; capital just needs to follow it.

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