Climate-Smart Lending for Agricultural Families

Savings and credit cooperatives (SCCs) in Ecuador use the Agroclimatica platform for lending to agricultural family farms. The debt service capacity of agricultural microloans is first assessed using the DGRV-developed MicroScore. The Agroclimatica platform also measures climate risks and makes alternative suggestions if a borrower wants to grow a crop in an area that is climatically unsuitable for it. This significantly reduces the probability of loan default and sustainably secures the income of family farms.