Safaricom Launches Jipange Cash Advance to Support Smallholder Tea Farmers
The cash advance offered in partnership with Access Bank and local tea factories ¬is expected to bridge short-term cashflow gaps caused by delayed payouts between harvest delivery and income.
DigiFarm, Safaricom’s flagship Agritech platform, launched Jipange Cash Advance, a facility designed to help smallholder tea farmers access funds ahead of their factory payments.
The cash advance offered in partnership with Access Bank and local tea factories ¬is expected to bridge short-term cashflow gaps caused by delayed payouts between harvest delivery and income.
According to the Tea Board of Kenya, tea is the lifeline of nearly one million farmers, supporting over 6.5 million people and contributing more than KES 200 billion annually to the economy. Yet, many smallholder farmers still face delayed payments, limiting their ability to meet daily household and farm needs, and leaving them financially vulnerable.
“Our farmers work tirelessly every day, yet many still struggle to make ends meet because of delayed payments. Jipange Cash Advance will provide greater peace of mind, ensuring farmers can put food on the table, pay school fees, and plan for their families. As Safaricom, we are proud to stand with farmers, because when our farmers thrive, our communities and country thrive too.”
– Peter Ndegwa, CEO, Safaricom PLC
Jipange Cash Advance offers farmers instant access to funds through M-PESA, based on their tea deliveries, with repayment automatically deducted at payout. The model removes the need for collateral, enables access to funds when they are needed most, and ensures secure, transparent repayments.
The pilot phase has already benefited farmers across four factories in the Rift Valley. DigiFarm now aims to scale the product to all eligible tea farmers across Kenya and expand the product to dairy farmers.
The facility will be available to smallholder famers in tea factories and dairy co-operatives that partner with Digifarm.
