Financial inclusion: Is it a precursor to agricultural commercialization amongst smallholder farmers in Uganda? A comparative analysis between Lango and Buganda sub-regions
This study examines the contributions of financial inclusion in supporting agricultural commercialization amongst smallholder farmers in Uganda in Lango and Buganda sub-regions. The researcher adopted a comparative study and cross-sectional survey design where descriptive, bivariate and multivariate...
Saved in:
| Main Authors: | , , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Journal of Economics and International Finance
2021
|
| Subjects: | |
| Online Access: | http://hdl.handle.net/20.500.12493/474 |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| _version_ | 1800403074691366912 |
|---|---|
| author | Eton, Marus Fabian, Mwosi Mary, Ejang Sammy, Godfrey Poro |
| author_facet | Eton, Marus Fabian, Mwosi Mary, Ejang Sammy, Godfrey Poro |
| author_sort | Eton, Marus |
| collection | KAB-DR |
| description | This study examines the contributions of financial inclusion in supporting agricultural commercialization amongst smallholder farmers in Uganda in Lango and Buganda sub-regions. The researcher adopted a comparative study and cross-sectional survey design where descriptive, bivariate and multivariate data analysis was used. Chi square procedure was run to test the hypothesis that financial inclusion does not affect agricultural commercialization amongst smallholder farmers in Lango and Buganda sub-regions. Regression analysis was specifically used to predict the level of change in agricultural commercialization due to changes in financial inclusion. The study identified financial inclusion as one variable that can predict the success of agricultural commercialization, though it varies from one region to another. In Lango, efforts by government to increase financial access is a positive factor to agricultural commercialization while in Buganda, it is a negative factor. In Lango, land is communal and not individually owned. Therefore, smallholder farmers need to access finances to purchase land for commercial farming. In Buganda, however, land is freehold, which makes smallholder farmers to own chunks of land from their parents. The study has established some common factors that limit agricultural commercialization in both Lango and Buganda, that is, expensive equipment and fluctuating prices while poor infrastructure is no longer a big worry. This paper recommends that, financial service providers should revise their lending terms downwards to reach smallholder farmers, some of whom lack collateral security to pledge for credit. While the government takes credit for improving infrastructure, government, through her policy organs like ministry of agriculture, should provide buffer prices against price fluctuations. |
| format | Article |
| id | oai:idr.kab.ac.ug:20.500.12493-474 |
| institution | KAB-DR |
| language | English |
| publishDate | 2021 |
| publisher | Journal of Economics and International Finance |
| record_format | dspace |
| spelling | oai:idr.kab.ac.ug:20.500.12493-4742024-01-17T04:46:08Z Financial inclusion: Is it a precursor to agricultural commercialization amongst smallholder farmers in Uganda? A comparative analysis between Lango and Buganda sub-regions Eton, Marus Fabian, Mwosi Mary, Ejang Sammy, Godfrey Poro Financial inclusion, agricultural commercialization, smallholder farmers This study examines the contributions of financial inclusion in supporting agricultural commercialization amongst smallholder farmers in Uganda in Lango and Buganda sub-regions. The researcher adopted a comparative study and cross-sectional survey design where descriptive, bivariate and multivariate data analysis was used. Chi square procedure was run to test the hypothesis that financial inclusion does not affect agricultural commercialization amongst smallholder farmers in Lango and Buganda sub-regions. Regression analysis was specifically used to predict the level of change in agricultural commercialization due to changes in financial inclusion. The study identified financial inclusion as one variable that can predict the success of agricultural commercialization, though it varies from one region to another. In Lango, efforts by government to increase financial access is a positive factor to agricultural commercialization while in Buganda, it is a negative factor. In Lango, land is communal and not individually owned. Therefore, smallholder farmers need to access finances to purchase land for commercial farming. In Buganda, however, land is freehold, which makes smallholder farmers to own chunks of land from their parents. The study has established some common factors that limit agricultural commercialization in both Lango and Buganda, that is, expensive equipment and fluctuating prices while poor infrastructure is no longer a big worry. This paper recommends that, financial service providers should revise their lending terms downwards to reach smallholder farmers, some of whom lack collateral security to pledge for credit. While the government takes credit for improving infrastructure, government, through her policy organs like ministry of agriculture, should provide buffer prices against price fluctuations. Kabale University 2021-01-27T06:43:53Z 2021-01-27T06:43:53Z 2021 Article 2006-9812 http://hdl.handle.net/20.500.12493/474 en ;054911F65534 application/pdf Journal of Economics and International Finance |
| spellingShingle | Financial inclusion, agricultural commercialization, smallholder farmers Eton, Marus Fabian, Mwosi Mary, Ejang Sammy, Godfrey Poro Financial inclusion: Is it a precursor to agricultural commercialization amongst smallholder farmers in Uganda? A comparative analysis between Lango and Buganda sub-regions |
| title | Financial inclusion: Is it a precursor to agricultural commercialization amongst smallholder farmers in Uganda? A comparative analysis between Lango and Buganda sub-regions |
| title_full | Financial inclusion: Is it a precursor to agricultural commercialization amongst smallholder farmers in Uganda? A comparative analysis between Lango and Buganda sub-regions |
| title_fullStr | Financial inclusion: Is it a precursor to agricultural commercialization amongst smallholder farmers in Uganda? A comparative analysis between Lango and Buganda sub-regions |
| title_full_unstemmed | Financial inclusion: Is it a precursor to agricultural commercialization amongst smallholder farmers in Uganda? A comparative analysis between Lango and Buganda sub-regions |
| title_short | Financial inclusion: Is it a precursor to agricultural commercialization amongst smallholder farmers in Uganda? A comparative analysis between Lango and Buganda sub-regions |
| title_sort | financial inclusion is it a precursor to agricultural commercialization amongst smallholder farmers in uganda a comparative analysis between lango and buganda sub regions |
| topic | Financial inclusion, agricultural commercialization, smallholder farmers |
| url | http://hdl.handle.net/20.500.12493/474 |
| work_keys_str_mv | AT etonmarus financialinclusionisitaprecursortoagriculturalcommercializationamongstsmallholderfarmersinugandaacomparativeanalysisbetweenlangoandbugandasubregions AT fabianmwosi financialinclusionisitaprecursortoagriculturalcommercializationamongstsmallholderfarmersinugandaacomparativeanalysisbetweenlangoandbugandasubregions AT maryejang financialinclusionisitaprecursortoagriculturalcommercializationamongstsmallholderfarmersinugandaacomparativeanalysisbetweenlangoandbugandasubregions AT sammygodfreyporo financialinclusionisitaprecursortoagriculturalcommercializationamongstsmallholderfarmersinugandaacomparativeanalysisbetweenlangoandbugandasubregions |