Award-winning climate-smart and eco-credit systems for agri-lenders, funds and environmental project managers

What we do

F3 Life  enables the provision of climate-smart and eco-credit by financial institutions and companies to their farming clients.

F3 Life makes farm level visual data relevant to climate risk available to agri-investors to inform ongoing credit analysis and decisions.
F3 Life systems integrate with lenders’ core banking systems to make sure land-related climate risk factors can be easily incorporated into existing credit processes.

Climate-Smart Lending Platform

F3 Life partnered with Financial Access, the Climate Policy Initiative and IUCN to develop the Climate-Smart Lending Platform, a partnership seeking to increase the resilience of smallholders to climate change through access to appropriate agricultural credit.

F3 Life Tools

We help companies and financial institutions which lend to smallholders with design and implementation of climate-smart credit products, monitoring implementation of climate-smart farming and land-management practices, and using climate-smart credit scores when making credit decisions. We do this by providing the following:

F3 Life provides:

Credit product designs: We provide off-the-peg climate-smart credit product designs which specify the land-management measures that your clients should implement in order to increase their climate resilience and reduce their credit default risk.


Impact models: We provide financial models which show how adoption of the F3 Life climate-smart credit system will reduce client credit default risk and increase client debt service coverage ratios. This translates environmental sustainability into absolute bottom line performance.

Environmental impact monitoring: We provide a low cost-monitoring system which allows agri-lenders to ascertain their clients are in compliance with the climate-smart farming practices of their loan terms and report against defined environmental impact metrics.

Climate-smart credit scoring: We translate data collected from clients farms into a “climate-smart credit rating” which can be incorporated into a credit scorecard or credit-scoring algorithm

Training materials: We provide an online training system for back and front office staff, funds which lend to agri-lenders and environmental project managers which would like to include F3 Life approaches in their environmental projects.



F3 Life’s mission is to enhance sustainable livelihoods and strengthen environment and climate resilience with innovative tools for finance providers that simultaneously build environmental, financial and social capital. The company is registered in the United Kingdom and provides its systems globally with first use cases in East Africa.

Climate-Smart Credit

Climate-smart credit incorporates climate-smart agricultural and land-management
practices into loan terms. When a client signs a loan agreement, they also sign a land management agreement which requires the client to manage their land in a way which is designed to protect them and their farm from climate-change related events. This approach is designed to enhance credit-provider profitability by reducing credit default risk and increasing client debt service coverage ratio. Additionally, it ensures farmers are building resilience to weather events associated with climate change.


The F3 Life credit incentive system can be adapted to enhance provision of any ecosystem good or service where land is managed by farmers in need of commercial debt. We have developed systems for watershed management, soil conservation and coastal fisheries management.

Environmental Interest Rates

A key component of the F3 Life approach is the development of “Environmental Interest Rates”. Exclusive focus on financial interest on loans leads to a sub-optimal allocation of economic resources. We are developing a methodologically robust system to match financial interest with environmental interest so as to ensure the restoration of degraded farmlands and forest landscapes.

Why use F3 Life Systems?

1. Reduced exposure to climate-change related default risk

2. Improved debt service coverage ratios

3. Credit users who are more resilient to climate change

4. New channels to raise debt

Our Partners

F3 Life’s system of climate-smart lending has been endorsed by  the members of the Global Innovation Lab for Climate Finance:

F3 Life was the winner of the UNDP/Mitsubishi Morgan Stanley Prize for Climate Change Finance Innovation, the Global Innovation Lab for Climate Finance and a runner-up in the SwissRe ReSource Prize.

How the system works


A farmer signs a loan and land management agreement

Smallholder farming clients gain access to credit in order to develop their farming enterprise, on the condition that they adopt climate smart farming practices.


Repayment and Implementation

The farmer implements the required climate-smart agricultural and land management practices on their land



F3 systems are used to monitor implementation of climate-smart practices


Climate Smart Credit Scoring

When a farmer complies with the climate-smart requirements of their loan agreement, they are provided with a score which boosts their credit score



With implementation, farmers build their resilience to climate change and protect agricultural lending portfolios from climate change risk

An example of a Climate Smart Credit Product

This credit product incentivises improved soil conservation to protect soils from heavy episodic rainfall projected to increase with climate change in certain areas of Kenya. Farmers who employ this system protect their soils, improve their yield and reduce their likelihood of credit default. In this specific instance, our partner lender was able to reduce interest rates to reflect reduced client risk.

Get in touch

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