Financing a Seychelles farm or fishing business
In Seychelles, farmers and livestock keepers borrow mainly from the Development Bank of Seychelles, which runs the Agricultural Development Fund, while fishers can use the Fisheries Development Fund and, for sustainable projects, the Blue Investment Fund.
A small but strategic farming sector
Agriculture accounted for only about 2.5% of GDP in 2017, yet it underpins food security in an archipelago that imports most of its food. Vegetables, poultry, pigs and tropical fruit dominate the farms of Mahé and Praslin.
The DBS Agricultural Development Fund
The Development Bank of Seychelles manages the ADF, a window dedicated to agricultural finance. Greenhouses, irrigation systems, livestock buildings and processing equipment can all be submitted, under conditions set by the DBS in rupees.
The Fisheries Development Fund for fishers
The FDF, also managed by the DBS, finances small-scale and semi-industrial fishers for boats, engines and equipment. Sustainable fishing projects can apply to the Blue Investment Fund, which lends at 4% over a maximum of fifteen years.
The Seychelles Agricultural Agency
The Seychelles Agricultural Agency provides technical support to producers and manages public farmland. A favourable opinion from the agency and a lease in good order strengthen any application submitted to the DBS for funding.
Leased land and security
Many farmers work leased public land, which means the plot cannot be mortgaged. The lender then falls back on a pledge over equipment, a personal guarantee or a mortgage on another family-owned property with a clear title.
Weather risks on steep terrain
Torrential rain, drought and landslides threaten crops on Mahé's slopes, and lenders know these risks well. Planning water tanks, drainage and insurance where available makes the repayment plan presented to the bank more credible.
Selling to hotels and supermarkets
A supply contract with a Beau Vallon hotel or a Victoria supermarket chain reassures the lender about sales outlets, and it may ask to see these contracts. Regular income also makes it possible to match repayment dates to sales.
Commercial banks and the Credit Union
An established farmer can also ask their bank or the Seychelles Credit Union for working capital, against security and a sales history. Other business options are set out in our guide to a business loan in Seychelles.
Aquaculture and blue economy projects
Since 2021, aquaculture has been eligible for the Blue Investment Fund. Projects must be led by Seychellois or by companies at least 51% owned by them, with an own contribution covering the share the fund does not finance.
Licensing and formalising the farm
The DBS requires the farmer to be registered and to hold the necessary permits, and incomplete files are often put on hold. Livestock keepers must also follow health rules, especially when selling meat and eggs on the local market.
The national context to understand
Farm finance sits within the wider Seychelles banking system, described in our overview of credit in Seychelles, where commercial banks remain cautious about small farm risks. Public funds partly make up for that caution.
Comparing with Mozambique
In Mozambique, agriculture employs most of the workforce and attracts donors and rural credit programmes on a very different scale. Our guide to a farmer loan in Mozambique offers an instructive contrast in crops and market size.
Getting farm or fisheries finance in Seychelles
- Put the lease or parcel title and the farm's registration in order.
- Ask the Seychelles Agricultural Agency for technical support to cost the project.
- Choose the right DBS window: the ADF for farming, the FDF for fishing or the BIF for the blue economy.
- Prepare a production plan with expected sales, buyer contracts and a harvest or fishing calendar.
- Submit the file with quotes, security and proof of your contribution, then follow the DBS review.
- Account for the use of funds at each disbursement and keep to the repayment schedule.
Loan terms for farmers and fishers
| Window | Terms | Comment |
|---|---|---|
| DBS ADF | Set by the DBS | Crop and livestock projects |
| DBS FDF | Set by the DBS | Boats, engines, fishing gear |
| Blue Investment Fund | 4% over 15 years max (indicative) | Sustainable fishing and aquaculture |
| Commercial banks | Negotiated rate | Working capital, established farmers |
| Security | Pledge or guarantee | Public land cannot be mortgaged |
Supporting documents for a Seychelles farm loan
- Seychelles national ID card
- Agricultural lease or parcel title
- Production plan and sales forecasts
- Quotes for equipment, greenhouses or boats
- Letters of intent from buyers, hotels or supermarkets
- Fishing licence for a fisheries project
Pitfalls of farm finance in Seychelles
- Submitting a project on land without a regularised lease, which prevents the DBS from assessing how secure the farm is.
- Ignoring landslide or drought risk in the repayment plan and ending up with no income for several months.
- Oversizing a poultry house or greenhouse without confirmed buyers among hotels or traders in Victoria.
- Paying an intermediary who claims to speed up access to DBS funds in return for a commission.
Seychelles producers' questions about credit
Who finances farmers in Seychelles?
Mainly the Development Bank of Seychelles, through the Agricultural Development Fund, with technical support from the Seychelles Agricultural Agency. Commercial banks and the Credit Union mostly lend to farmers who are already established and can offer security.
Can a small-scale fisher finance a boat in Seychelles?
Yes, the DBS Fisheries Development Fund targets fishers for boats, engines and equipment. Projects geared towards sustainability or processing can also apply to the Blue Investment Fund at 4%.
Can farmland leased from the state be mortgaged?
No, leased public land generally cannot be used as a mortgage. The lender then asks for other security, such as a pledge over the financed equipment, a personal guarantee or titled family property.
Can an aquaculture project get a loan in Seychelles?
Yes, aquaculture was added to the activities eligible for the Blue Investment Fund in 2021. The applicant must be Seychellois or majority-owned by Seychellois and contribute at least the share the fund does not cover.