Special agricultural microfinance organizations - Macedonian Experience
AbstractIn countries where agriculture has substantial role in generating domestic product, sustainable microfinance can seriously increase economic activities and hence rural development. It is well known that agriculture is perceived as specific and risky to be financed by banks. Therefore, creating a specific sustainable microfinance (sometimes state owned) institutions is key element in enhancing rural and agricultural activities. These organizations together with banks and other small-scale financial institutions operating in close collaboration with the Government have a significant role in accelerating economic welfare of farmers and rural poor. This study tends to emphasize the importance of creating special microfinance institutions targeted towards strategic economic sectors such agriculture, with a focus on Agricultural Credit Discount Fund - a separate unit within the Macedonian Bank for Development Promotion that administers a credit line created to support Macedonian agribusiness. The ACDF’s ‘modus operandi’ is a guideline to every similar potential organization, as it creates prerequisites for easier access to microloans and increased income to its beneficiaries. The outstanding portfolio performance, fulfillment of the objectives and good impact on stakeholders is strong confirmation to this claim.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 51389.
Date of creation: 24 Oct 2013
Date of revision: 24 Oct 2013
Publication status: Published in International Center for Business Research October 2013 (10).2(2013): pp. 1-11
sustainable microfinance; agriculture; high risk; economic welfare; rural development; special institutions; Agricultural Credit Discount Fund; microloans; agribusiness;
Find related papers by JEL classification:
- G2 - Financial Economics - - Financial Institutions and Services
- H81 - Public Economics - - Miscellaneous Issues - - - Governmental Loans; Loan Guarantees; Credits; Grants; Bailouts
- Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture
This paper has been announced in the following NEP Reports:
- NEP-AGR-2013-11-16 (Agricultural Economics)
- NEP-ALL-2013-11-16 (All new papers)
- NEP-MFD-2013-11-16 (Microfinance)
You can help add them by filling out this form.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ekkehart Schlicht).
If references are entirely missing, you can add them using this form.