Romania is taking the first steps toward bringing the World Bank Group’s AgriConnect initiative to the country, opening a new chapter in its efforts to modernise agriculture, strengthen food processing and improve access to finance and technology for smaller farmers.
According to recent statements by the Romanian Minister of Finance, the Ministry is currently working with the World Bank on a major agribusiness programme designed to support small-scale farmers and the domestic agri-food processing industry. Discussions have intensified in 2026, following initial contacts between Romanian authorities and the World Bank during the autumn 2025 Annual Meetings.
Although at a first glance it might be surprising to see an EU country joining a programme mainly targeting lower income countries, when taking a better look at the agri production structure in Romania, with its huge number of small farms, enrolment into the programme starts to make sense. If well designed and implemented, the programme can become an opportunity to support the country’s millions of smaller farmers.
From producing raw materials to creating more value
For Romania, the programme comes at a moment when the country is seeking to make better use of its considerable agricultural potential. Romania produces large quantities of agricultural commodities, but a significant share of the economic value can be lost because products are exported or sold as raw materials rather than processed domestically. The government has therefore identified food processing, logistics, technology and access to finance as key areas where investment could help Romanian agriculture become more competitive.
Interim Finance Minister Alexandru Nazare said at the end of July 2026 that the government was working on a new major agribusiness programme through AgriConnect, focusing particularly on financing the agri-food processing industry and small farmers. He also argued that Romania has the potential to become a strategic supplier of agricultural and food products to the region and to Europe, provided that investment in competitiveness, technology and processing is increased. The discussions with the World Bank are focusing on how AgriConnect can be adapted to national priorities and complement existing European Union funding rather than duplicate it.
What AgriConnect could mean for Romanian farmers
At its core, AgriConnect is designed to address some of the structural problems that prevent smaller agricultural producers from becoming more productive and profitable. The World Bank’s framework is built around three priorities: strengthening foundations, improving policies and mobilising capital. In practical terms, this can include better infrastructure, digital agricultural services, skills and research, stronger farmer organisations, access to finance and insurance, and reforms that make it easier for businesses to invest and operate.
For Romanian farmers, these principles could translate into better access to working capital, modern technology, storage and logistics, as well as more reliable links to processors and markets.
Romania has the most fragmented agricultural sector in the European Union, having almost 3 million farmers, and around 90% of them farming less than five hectares. Many operate on a subsistence or semi-subsistence basis, producing mainly for their own consumption rather than for commercial markets.
Smaller farms struggle to make the investments needed to become productive businesses. A recent World Bank analysis found that about 70% of Romanian farmers generated less than €2,000 in standard agricultural output in 2020, highlighting the scale of the gap between subsistence farming and commercially oriented agriculture.
AgriConnect could contribute to bridging that gap by connecting small farmers with processors, financial institutions and markets. In short: bringing smaller farmers into a modern and sustainable food economy.
A stronger role for processing
One of the most significant opportunities for Romania lies in expanding its food-processing capacity.
Increasing domestic processing could allow Romanian producers to move further up the value chain - from selling grain, livestock or other raw materials to producing higher-value foods for domestic and international markets, contributing in this way also to the reduction of the agrifood trade deficit.
That transformation would require investment not only in factories, but also in storage, transport, energy, digital systems, quality standards and business skills. AgriConnect’s integrated approach could address precisely these connections.
The programme could also create opportunities for private investors. The World Bank Group is known by its efforts to mobilise additional private capital whenever and wherever possible.
Technology at the centre of agricultural transformation
Technology is another important component of AgriConnect. The World Bank highlights digital tools, agricultural advisory services, weather information, digital finance and artificial intelligence as technologies that can help farmers make better decisions and connect more efficiently with markets and financial services.
For Romania, this could mean opportunities to accelerate the adoption of precision agriculture, digital farm management, modern irrigation and climate-risk tools, particularly among smaller producers who usually have difficulties in financing technological improvements. Obviously, the challenge will be ensuring that these innovations reach farms of different sizes and regions.
A programme still taking shape
The World Bank Group launched AgriConnect internationally in 2025. Romania, however, is currently in the process of developing its national approach. Romanian officials said in July 2026 that the country is continuing discussions with the World Bank on how the instrument should be structured for the country’s needs.
As soon as the financing mechanisms, eligibility rules, beneficiaries and timetable for Romania will be negotiated and set, an update will follow regarding more concrete financing instruments, investments and opportunities on the ground.
What is clear so far is the strategic direction: Romania wants to use the World Bank’s AgriConnect framework to strengthen smaller farmers, attract investment, expand domestic food processing and increase the amount of value created within the Romanian agricultural economy.
More information
For more information, you can reach out to the Netherlands Agricultural Network in Romania via: bkr-lvvn@minbuza.nl