Agriculture
Permanent URI for this collection
Browse
Browsing Agriculture by Subject "Agricultural credit-Zambia"
Now showing 1 - 5 of 5
Results Per Page
Sort Options
- ItemAn assessment of the outreach of microfinance Institutions to Rural Women in Zambia(University of Zambia, 2014) Kalasa, Chanda M.The objective of this study was to assess the outreach of microfinance institutions to rural women in Zambia in terms of, services provided, number of female and male clients, and availability of women tailored product designs and programme approaches. The findings can not only be used by microfinance institutions to give valuable business and social information to improve outreach and service to women but it can also give government an insight leading to the building of a gender perspective into agricultural policies and projects The study assessed six (6) of major microfinance institutions providing services on the rural market. Key informant interviews at each of the institutions were carried out using a semi-structured interview guide. Findings revealed that a large proportion of the rural population still remains to be served as none of the MFIs operated in Luapula and Muchinga provinces. Most of the institutions have taken affirmative action on lending to more women because they are generally poorer than men and more vulnerable. Results indicated that 63.5% of women were being served compared to 34.5% of men. However, despite the yearly increase in total client numbers, the proportion of women clients decreased, this can be attributed to the MFIs search for better financial returns. A l l of the respondent MFIs did not require the signature of a man for a woman to be able to apply for a loan. The study revealed that group loans were popular amongst women firstly because there is no collateral involved, and secondly because it makes them feel more secure in case of default. None of the reviewed institutions offered women tailored products or programme approaches, which is necessary in order to efficiently serve women. Based on the research findings it is recommended that the proven business case for targeting female borrowers must be emphasized, while at the same time strengthening MFI strategies for reaching women. In addition, MFIs should tailor product specifications, such as loan amounts and repayment schedules to cater for the diverse needs of women clients. Women's groups should also be utilized to promote and strengthen women's networks and not merely as a means of lowering costs.
- ItemAn assessment of Zambia National Framers Union Lima Credit Scheme(University of Zambia, 2014) Phiri, PangelaZambia's market for agricultural finance is challenged, from the farmers' perspective, credit is scarce and expensive and heavily skewed towards the larger, corporate sector. Banks on the other hand, are reluctant to lend without very high collateral coverage and a high risk premium. The LIMA credit scheme recognises the importance to bridge the gap between agricultural finance and small scale farmers. This scheme originated from a need of credit services expressed by ZNFU members. The LIMA scheme was developed in-house by the ZNFU in close consultation with its commercial financial partner Zambia National Cooperative Company PLC and other private sector stakeholders. The main objective of the study is to assess the model being applied by ZNFU to facilitate access to credit to smallholders farmers in Zambia and analyse the benefits that are accruing to the small-holder famers. The study was conducted in Chongwe. It used a Semi-structured questionnaire on randomly sampled LIMA beneficiaries. The data was analysed using Special Package for Social Scientists. The survey results revealed that beneficiaries of the LIMA Scheme showed an improvement in income generated from farming activities. There was also significant increase in the number of farmers that are currently on the LIMA program (from 250-4026). The research also revealed that this package is achieving its set objectives which is to provide small-scale farmers with agricultural services based on group Savings and Loans approach linked to the commercial sector. The assessment highly recommends that the program should be more transparent as the farmers knew little about the whole program. For the scheme to continue targeting more farmers it should include more farmers needs such as herbicides, and farming implements and extension services.
- ItemEffect of the credit outreach programme on non-performance loans agriculture finance in Zambia's Lusaka Province(The University of Zambia, 2011) Mashikinyi, EnockSustainability of funds is crucial in implementing rural credit programs and those relying on their services. Understanding the impact of outreach on nonperforming loans performance would contribute to better information for policy decision making. To investigate the effect of credit outreach on non-performing loans, a study was conducted in Lusaka Province specifically in Chongwe and Kafue. The study specifically targeted Harmos Micro-Enterprise Development Ltd (HMDL) customers. A sample of 576 households was randomly selected from the 2450 beneficiaries in the areas of study. The sample consisted of smallholder farmers that are beneficiaries of these credit facilities. Regression analysis was used to determine how the non-performing loan ratio of Harmos microfinance Development limited (HMDL) branches can be explained by the debt suspension program implementation and the average loan of customers. Results of the multiple regression analysis tests showed that debt suspension program and average loan were both statistically significant at p-value = 0.05 i.e. they were 0.000 and 0.039 significant respectively, meaning that the both hypotheses were accepted. It was also shown that debt suspension program has negative impact on the non-performing loan ratio of HMDL branches, while and average loan has positive impact on the non-performing loan ratio of HMDL branches. The marginal effect of average loan indicates that one kwacha change will result in an increase in the non-performing loan by 0.117 percent, while the marginal effect of debt suspension programme indicates that year of implementation will resuk in a decrease in the non-performing loan by 0.209 percent Criteria should be set for branches concerning the expansion of total outstanding loans. Expansion of loan amount should go together with the expansion of number of borrowers. Thus, reaching out to poorer customers (higher outreach depth) can go together with lower nonperforming loan ratio..
- ItemFactors affecting agricultural repayment among beneficiaries of the Citizens Economic Empowerment Fund(University of Zambia, 2011) Kanema, SarahFarm credit can stimulate the transfer of technology into agriculture and hence lead to increased crop yield, hence improving the country's food sufficiency and economic development. However, most often than not farmers are faced with the problem o f lack of cheap affordable credit. This study examined the factors affecting farmers in loan repayment in Lusaka district (A case study of farmers funded by the citizens' economic empowerment commission, CEEC.) CEEC is a government institution established by an Act of parliament. Act No. 9 of2006. The main objective of the commission is to empower the citizens of Zambia who have been marginalized or disadvantaged; one of the ways of achieving this goal has been through providing access to funds. A random sample of 30 farmers funded by C E E C from Lusaka district was used for the study. A well structured questiormaire was the main tool for data collection, while descriptive statistics and Probit model were the main analytical techniques. Empirical results from the Probit analysis found the level of Education, Disbursement period and years of Farming Experience at 95 % confidence level as significant predictors of farm loan repayment, with P values of 0.02,0.000,0.000 respĀ«;tively which are all less than 0.05, h&ice significant Level of education and farming experience were positively significant while disbursement period was found to be negatively significant. Most borrowers were females and were less than fifty years of age; this can be attributed to the fact that the Commission fargets the women and the youth in its Empowerment Programmes. The study recommends that the application procedure should be revised to a simpler straight forward and friendlier procedure especially to those of low literacy levels to encourage their participation. Technical specialists should be employed in project appraisal and monitoring in order to assist farmers to engage in more profitable ventures. A special repayment schedule should be established for the sector as it is unlike the sectors with business all year round. Therefore, policy aimed to accelerate agricultural development in the area could be successful if these factors and problems are taken into consideration to improve participation in agricultural credit from CEEC and indeed other finance institution
- ItemFactors Affecting the Performance of Small Holder Credit Schemes offered by Commercial Banks in Chipata District(University of Zambia, 2007) Hansungule, Thomas PhiriThis study was carried out in Chipata District in Zambia's Eastern Province. The overall focus of this study was to analyse the factors which affect the performance of small holder credit schemes offered by commercial banks to small scale farmers. The Zambia National Commercial Bank and National Savings and Credit Bank offers credit to small scale farmers. The objectives were to determine the productivity levels o f small scale farmers who have received credit from commercial banks, to determine the performance of small scale farmers in terms of loan repayment, to assess the appropriateness of lending policies of the bank and to find out the extent to which commercial banks supervise the way small scale farmers use their loans for. The findings were that in general productivity levels of small scale farmers increase after accessing credit, this can be attributed to availability of farming inputs to farmers when they access credit, on the other hand it was found that these commercial banks do not monitor the loans use by farmers. Research also reviewed that small scale farmers who were accessing these loans were benefiting because their income levels increase though not upon selling their produce because of the long period it takes for them to be paid, the farmers use this income to send their children to school, access health services and generally improve their conditions of living. The key recommendations of this study were that the Zambia National Savings and Credit Bank and Zambia National Commercial Bank must involve farmers in the formulation of these Credit Packages and to embark on extensive Monitoring programs.