Rural Finance Institutions, Markets And Policies In Africa
Since 1970, there has been a shift from emphasis on agricultural credit to one of rural finance. There has been a broadening of emphasis on the range of functions performed by financial markets to include loans, deposits and insurance services for rural people. There has also been a narrowing of expectations in recognition that financial markets are capable of achieving a smaller range of economic objectives than was envisioned in the 1970s. I will cite three factors that have changed the way we look at rural finance today compared to the view on the 1970s. First, through this era structural change has occurred, and the rural clients of financial institutions have changed. Although the population engaged in agriculture is still significant, its proportion in the total population has declined and the rural population is becoming less dependent on agriculture for income (Table 1). Depending on the region this trend may reflect a basic fact of agricultural progress (cheaper food and fewer farmers) or it may reflect the persistence of urban biased policies in developing countries. This trend reinforces the shift away from agricultural credit to rural finance with a greater emphasis on products that meet household demands for investment, consumption, savings and insurance.
|Date of creation:||2003|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: 00 27 51 401-2824
Fax: 00 27 51 401-3473
Web page: http://www.uovs.ac.za/agric-econ
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Lapenu, Cécile & Zeller, Manfred, 2001.
"Distribution, growth, and performance of microfinance institutions in Africa, Asia, and Latin America,"
114, International Food Policy Research Institute (IFPRI).
- Lapenu, Cécile & Zeller, Manfred, 2001. "Distribution, growth, and performance of microfinance institutions in Africa, Asia, and Latin America," FCND discussion papers 114, International Food Policy Research Institute (IFPRI).
- Reardon, Thomas & Kelly, Valerie A. & Crawford, Eric W. & Jayne, Thomas S. & Savadogo, Kimseyinga & Clay, Daniel C., 1996.
"Determinants of Farm Productivity in Africa: A Synthesis of Four Case Studies,"
Food Security International Development Policy Syntheses
11279, Michigan State University, Department of Agricultural, Food, and Resource Economics.
- Reardon, Thomas & Kelly, Valerie A. & Crawford, Eric W. & Jayne, Thomas S. & Savadogo, Kimseyinga & Clay, Daniel C., 1996. "Determinants of Farm Productivity in Africa: A Synthesis of Four Case Studies," Food Security International Development Papers 54049, Michigan State University, Department of Agricultural, Food, and Resource Economics.
When requesting a correction, please mention this item's handle: RePEc:ags:ufstcp:28070. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.