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Relationship between access to financial services and youth involvement in agricultural value chains in Kakamega county, Kenya

Author

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  • Rogito, Jeremiah Magoma
  • Makhanu, Everlyne
  • Mombinya, Beatrice Kerubo
  • Nyamota, Geoffrey

Abstract

Purpose. Agribusiness offers huge employment potential considering its wide labour absorptive capacity and the youth have a role to play. The study aimed at assessing the relationship between access to financial services and youth involvement in agricultural value chains. Methodology / approach. The study was conducted in Kakamega County, Kenya. Stratified and simple random sampling was adopted to select 240 respondents. Interviews were conducted using a stratified questionnaire. The collected data were analyzed to generate frequencies, percentages and correlation. Results. The results revealed that youth involvement across the agricultural value chain is low. Further, there was a strong correlation between access to finance and youth involvement in agricultural value chains. Inadequate access to financial services is a key constrain to agricultural productivity in Kakamega county as it affects all aspects of the value chain except consumption. Originality / scientific novelty. The study considers the entire agricultural value chain from production to consumption and assesses the relationship between financial resource access and youth involvement at each segment of the value chain. This is significant since the Kenyan population is youthful. Practical value / implications. The study reveals that there is a strong relationship between access to financial service and youth involvement in the agricultural value chain towards securing their livelihoods. This knowledge is useful to County and national government policymakers and Donor agencies to formulate policies that will enhance youth access to financial resources and consequently their involvement in the Agricultural Value Chain to grow their incomes and improvement of their wellbeing. This will be achieved by knowing what segments of the value chain offer best opportunities for them to thrive in business to guide development of intervention strategies.

Suggested Citation

  • Rogito, Jeremiah Magoma & Makhanu, Everlyne & Mombinya, Beatrice Kerubo & Nyamota, Geoffrey, 2020. "Relationship between access to financial services and youth involvement in agricultural value chains in Kakamega county, Kenya," Agricultural and Resource Economics: International Scientific E-Journal, Agricultural and Resource Economics: International Scientific E-Journal, vol. 6(2), June.
    • Handle: RePEc:ags:areint:303855
    DOI: 10.22004/ag.econ.303855
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    Citations

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    Cited by:

    1. Hua Zhang & Ying Li & Hanxiaoxue Sun & Xiaohui Wang, 2023. "How Can Digital Financial Inclusion Promote High-Quality Agricultural Development? The Multiple-Mediation Model Research," IJERPH, MDPI, vol. 20(4), pages 1-19, February.
    2. Tretiak, Anton & Tretiak, Valentina & Sakal, Oksana & Kovalenko, Andrii & Tretiak, Nataliia & Shtogryn, Halyna, 2020. "The value added chain in the mechanism of public-private partnership for the development of the land use economy of rural territories," Agricultural and Resource Economics: International Scientific E-Journal, Agricultural and Resource Economics: International Scientific E-Journal, vol. 6(3), September.
    3. Karnaushenko, Alla & Petrenko, Viktoriia & Tanklevska, Natalia & Borovik, Liubov & Furdak, Marharyta, 2020. "Перспективи Молодіжного Аграрного Підприємництва В Україні," Agricultural and Resource Economics: International Scientific E-Journal, Agricultural and Resource Economics: International Scientific E-Journal, vol. 6(4), December.

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    Keywords

    Agribusiness; Financial Economics;

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