“Determinants of rural household saving participation: A case study of Libokemkem District, North-west Ethiopia”

Saving is an important factor in households’ welfare in developing countries. However, most studies have focused on urban areas and at the macroeconomic level. Consequently, such studies mask the reality of rural households, which constitute a large proportion in Ethiopia. Hence, this study aims at...

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Main Authors: Melsew Nibret Mazengiya, Girmachew Seraw, Birhanu Melesse, Tesfaye Belete
Format: Article
Language:English
Published: Taylor & Francis Group 2022-12-01
Series:Cogent Economics & Finance
Subjects:
Online Access:https://www.tandfonline.com/doi/10.1080/23322039.2022.2127219
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author Melsew Nibret Mazengiya
Girmachew Seraw
Birhanu Melesse
Tesfaye Belete
author_facet Melsew Nibret Mazengiya
Girmachew Seraw
Birhanu Melesse
Tesfaye Belete
author_sort Melsew Nibret Mazengiya
collection DOAJ
description Saving is an important factor in households’ welfare in developing countries. However, most studies have focused on urban areas and at the macroeconomic level. Consequently, such studies mask the reality of rural households, which constitute a large proportion in Ethiopia. Hence, this study aims at analyzing the factors that influence the probability of saving participation at the household level in the Libokemkem District. We employed a systematic random sampling technique to select a total of 157 household heads in three kebeles in Libokemkem District, Ethiopia. We used structured questionnaires to collect data from the sampled households. We then analyzed the data using a logistic regression model. The results of the study show that family size, farm land, education status, credit access and frequency of extension contact are the determinant factors for saving participation among rural households. We recommend that the Ethiopian Ministry of Economic and Finance should strengthen the existing credit services and create awareness campaigns for the communities to enhance rural saving participation.
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spelling doaj-art-59ebc39a4f484880a1b9dde50ca024c72025-08-20T02:16:49ZengTaylor & Francis GroupCogent Economics & Finance2332-20392022-12-0110110.1080/23322039.2022.2127219“Determinants of rural household saving participation: A case study of Libokemkem District, North-west Ethiopia”Melsew Nibret Mazengiya0Girmachew Seraw1Birhanu Melesse2Tesfaye Belete3Department of Rural Development and Agricultural Extension, College of Agriculture and Natural Resource, Mekdela Amba University, P.O. Box 32, Tuluawilya, EthiopiaDepartment of Rural Development and Agricultural Extension, College of Agriculture and Environmental Sciences, Bahir Dar University, P.O. Box 5501, Bahir Dar, EthiopiaDepartment of Rural Development and Agricultural Extension, College of Agriculture and Environmental Sciences, Bahir Dar University, P.O. Box 5501, Bahir Dar, EthiopiaEthiopia Cooperative Commission, Libokemkem District Branch, Addis Zemen, EthiopiaSaving is an important factor in households’ welfare in developing countries. However, most studies have focused on urban areas and at the macroeconomic level. Consequently, such studies mask the reality of rural households, which constitute a large proportion in Ethiopia. Hence, this study aims at analyzing the factors that influence the probability of saving participation at the household level in the Libokemkem District. We employed a systematic random sampling technique to select a total of 157 household heads in three kebeles in Libokemkem District, Ethiopia. We used structured questionnaires to collect data from the sampled households. We then analyzed the data using a logistic regression model. The results of the study show that family size, farm land, education status, credit access and frequency of extension contact are the determinant factors for saving participation among rural households. We recommend that the Ethiopian Ministry of Economic and Finance should strengthen the existing credit services and create awareness campaigns for the communities to enhance rural saving participation.https://www.tandfonline.com/doi/10.1080/23322039.2022.2127219Libokemkem Districtlogit modelrural householdsaving participation
spellingShingle Melsew Nibret Mazengiya
Girmachew Seraw
Birhanu Melesse
Tesfaye Belete
“Determinants of rural household saving participation: A case study of Libokemkem District, North-west Ethiopia”
Cogent Economics & Finance
Libokemkem District
logit model
rural household
saving participation
title “Determinants of rural household saving participation: A case study of Libokemkem District, North-west Ethiopia”
title_full “Determinants of rural household saving participation: A case study of Libokemkem District, North-west Ethiopia”
title_fullStr “Determinants of rural household saving participation: A case study of Libokemkem District, North-west Ethiopia”
title_full_unstemmed “Determinants of rural household saving participation: A case study of Libokemkem District, North-west Ethiopia”
title_short “Determinants of rural household saving participation: A case study of Libokemkem District, North-west Ethiopia”
title_sort determinants of rural household saving participation a case study of libokemkem district north west ethiopia
topic Libokemkem District
logit model
rural household
saving participation
url https://www.tandfonline.com/doi/10.1080/23322039.2022.2127219
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AT birhanumelesse determinantsofruralhouseholdsavingparticipationacasestudyoflibokemkemdistrictnorthwestethiopia
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