AFC faces several risks that could hinder its ability to achieve its High Impact Goals. Credit risk remains a

key challenge, with a high non-performing loan (NPL), requiring stronger credit assessment and monitoring.

Financial risks, including poor asset management and profitability challenges, could affect stability.

Operational risks, such as inefficiencies, fraud, and weak internal controls, may disrupt project execution.

Compliance risks from evolving regulations could result in legal penalties and reputational damage.

Additionally, physical risks like climate change-induced droughts and floods threaten agricultural

productivity, while social risks, including labor violations and environmental harm, could impact AFC’s

reputation and stakeholder trust.