The Design of Micro Credit Contracts and Persistent Access to Credit Constraints of Micro Enterprises in Uganda

2010 ◽  
Author(s):  
Winifred M. Tarinyeba-Kiryabwire
Keyword(s):  
Credit Constraints ◽  
Access To Credit ◽  
Credit Contracts ◽  
Micro Enterprises ◽  
Micro Credit

scholarly journals Off-farm Income, Credit Constraints, and Farm Investment

2020 ◽  
Vol 52 (4) ◽  
pp. 642-663
Author(s):  
Nigel Key
Keyword(s):  
Household Income ◽  
Credit Constraints ◽  
Limited Resource ◽  
Capital Expenditures ◽  
Farm Income ◽  
Farm Labor ◽  
Federal Programs ◽  
Net Worth ◽  
Access To Credit ◽  
Farm Investment

AbstractMany farmers face borrowing limits that depend on their household income and net worth. Given such credit constraints, an increase in off-farm income should allow farmers to borrow more, thus influencing production decisions and productivity. To test this hypothesis, the education level of the farm operator’s spouse is used to identify exogenous variation in off-farm income. Findings indicate that higher off-farm income leads to more borrowing, capital expenditures, capital input intensity, farm labor use, output, farm income, and productivity. Results suggest that Federal programs that promote access to credit for limited-resource farmers may increase farm investment and productivity.

scholarly journals FAKTOR-FAKTOR YANG MEMPENGARUHI PEROLEHAN KREDIT OLEH PENGUSAHA MIKRO

2018 ◽  
Vol 4 (3) ◽  
Author(s):  
Abdul Azis Safii ◽  
Tri Suwarno
Keyword(s):  
Logistic Regression ◽  
Regression Model ◽  
Large Scale ◽  
Logistic Regression Model ◽  
Banking Sector ◽  
Binary Logistic Regression ◽  
Binary Logistic Regression Model ◽  
Access To Credit ◽  
The Poor ◽  
Micro Enterprises

Abstract: The number of micro-entrepreneurs and the dominant number of micro enterprises compared to medium and large-scale enterprises in Indonesia are not balanced by the provision of access to credit and venture capital for micro businesses. This resulted in a micro-sector sector identical to the poor being vulnerable to exploitation by moneylenders who exploit the difficulties of micro entrepreneurs accessing credit from the banking sector. This study examines the factors that determine the accessibility of credit by micro entrepreneur in Bojonegoro regency. A total sum of 270 micro entrepreneurs who have applied for banking loan were sampled from the study area. With an binary logistic regression model the research resulting that education, skill on entrepreneur, and monthly net profits generated by the microenterprise are significant in determining the accessibility of microcredit. Keywords: micro entrepreneur, microcredit, credit accessibility Abstrak: Perkembangan jumlah pengusaha mikro serta dominannya jumlah usaha mikro dibandingkan dengan usaha menengah dan usaha besar di Indonesia, tidak diimbingi dengan penyediaan akses kredit dan modal usaha bagi para pelaku usaha mikro. Hal tersebut mengakibatkan sektor usaha mikro yang identik dengan masyarakat miskin rentan dieksploitasi oleh rentenir yang memanfaatkan sulitnya para pengusaha mikro mengakses kredit dari sektor perbankan. Penelitian ini menggunakan data primer yang di ambil langsung dari pengusaha mikro dengan teknik kuesioner. Analisis data dengan metode binary logistic regression mendapatkan hasil variabel yang berpengaruh signifikan terhadap akses kredit para pengusaha mikro adalah variabel usia pengusaha, laba bersih usaha tiap bulan, dan jumlah karyawan yang di pekerjakan. Kata kunci : usaha mikro, microcredit, akses kredit

scholarly journals Driving Model of Determinant Factors Affecting the Performance of Small and Micro Enterprises: Empirical Evidence from Amhara Region, Ethiopia

2021 ◽  
Author(s):  
Zhang Yutang ◽  
Ayele Eshetu Yesuf
Keyword(s):  
Empirical Evidence ◽  
Outcome Variable ◽  
Enterprise Performance ◽  
Amhara Region ◽  
Initial Capital ◽  
Access To Credit ◽  
Determinant Factors ◽  
Market Linkage ◽  
Driving Model ◽  
Micro Enterprises

The purpose of this study is to examine the driving model of determinant factors that affects the performance of small and micro enterprises empirical evidence from Amhara Region, Ethiopia. The study used primary and secondary data from manufacturing, construction, urban agriculture, trade, and service entrepreneurs found in Bahirdar, Dessie & Gonder Cities using a purposive sampling technique. It also used the descriptive research design with a self-administered survey questionnaire. The Statistical analysis tools, SPSS and Amos, software were applied to analyze the data. Multiple regression model results revealed that access to credit, initial capital, working premises, industry category, market linkage, ICT adoption have a positive relationship and a major impact on the Amhara region's enterprise performance. Hence, the outcome variable, enterprise performance, is highly affected by all predicted variables. As the study finding shows, a lack of access to credit, , market linkage, working premises), initial capital, and information communication Technology problems are critical challenges of SMEs. The Regional Government, TVED Bureau, Micro Finance Institutions, , should take corrective action to provide sufficient credit and long-term loans to protect inflation. Moreover, this study proposed a sustainable cluster management approach that solves their challenges in an integrated way.

IMPACT OF MICROFINANCE ON POVERTY ALLEVIATION IN ONDO STATE, NIGERIA

2012 ◽  
Vol 02 (09) ◽  
pp. 31-37
Author(s):  
AKINLO Anthony Enisan ◽  
ONI Isaac Oluwafemi
Keyword(s):  
Poverty Alleviation ◽  
Small Scale ◽  
Significant Positive Effect ◽  
Access To Credit ◽  
Economic Opportunities ◽  
Ondo State ◽  
The Impact ◽  
Positive Effect ◽  
Micro Credit

The paper examines the impact of microfinance on poverty alleviation in Ondo State, Nigeria. The paper is based on a survey of 240 beneficiaries of microcredit loans in Ondo State. The results of the analysis show that most beneficiaries of micro credit loans are educated youth between the age brackets of 18 and 40 years. Many of the beneficiaries utilized their loans to procure durable equipment needed in their small scale enterprises. The results show that loan empowerment has a significant positive effect on beneficiaries’ welfare. Access to credit allowed the beneficiaries take advantage of economic opportunities by providing a fundamental basis for planning and expanding business activities.

scholarly journals Empowering Cities: Good for Growth? Evidence from the People's Republic of China

2018 ◽  
Vol 35 (1) ◽  
pp. 175-195
Author(s):  
Megha Mukim ◽  
T. Juni Zhu
Keyword(s):  
Gross Domestic Product ◽  
Local Governments ◽  
Credit Constraints ◽  
High Capacity ◽  
Economic Outcomes ◽  
Firm Level ◽  
Access To Credit ◽  
Republic Of China ◽  
Firm Outcomes ◽  
Local Leaders

This paper utilizes a countrywide process of county-to-city upgrading in the 1990s to identify whether extending the powers of urban local governments leads to better firm outcomes. The paper hypothesizes that since local leaders in newly promoted cities have an incentive to utilize their new administrative remit to maximize gross domestic product and employment, there should be improvements in economic outcomes. In fact, aggregate firm-level outcomes do not necessarily improve after county-to-city graduation. However, state-owned enterprises perform better after graduation, with increased access to credit through state-owned banks as a possible explanation. Importantly, newly promoted cities with high capacity generally produce better aggregate firm outcomes compared with newly promoted cities with low capacity. The conclusions are twofold. First, relaxing credit constraints for firms could lead to large increases in their operations and employment. Second, increasing local government's administrative remit is not enough to lead to better firm and economic outcomes; local capacity is of paramount importance.

scholarly journals Influence of Crediting Strategy on Growth of Small and Micro Enterprises in Kenya: A Case of Women Enterprise Fund

2019 ◽  
pp. 1-17
Author(s):  
Tom Ongesa Nyamboga ◽  
Edwin Odhuno ◽  
Walter Okibo Bichanga
Keyword(s):  
Linear Regression Analysis ◽  
Target Population ◽  
Primary Data ◽  
Group Leaders ◽  
Access To Credit ◽  
Specific Objective ◽  
Financial Credit ◽  
The Government ◽  
Descriptive Survey ◽  
Micro Enterprises

Effective implementation of crediting strategy is paramount to the growth of Small and Micro Enterprises (SMEs) worldwide. Crediting provides adequate amount of initial capital needed by entrepreneurs to establish and operate their businesses. The government of Kenya having realized this scenario initiated the formation of Women Enterprise Fund (WEF) in 2007 as a micro credit to provide financial credit to women entrepreneurs throughout the country. Despite this, many women micro traders have inadequate access to credit to start and expand their SMEs. The specific objective of this study was to assess the influence crediting strategy on the growth of SMEs in Kenya. This research used a descriptive survey based design. The study’s target population constituted 2032 women group leaders from which a sample size of 335 respondents was selected randomly. Primary data was collected by use of structured researcher administered questionnaires. Data collected was analyzed by use of both descriptive statistics and inferential statistics, by the aid of SPSS version 24. Both Analysis of Variance (ANOVA) and Linear Regression Analysis were computed to correlate the study’s variables. The study established a positive relationship between crediting strategy and the growth of SMEs. The findings of this study will help the government of Kenya in formulating and implementing crediting strategies that would make credit accessible and therefore boost growth of SMEs in the country. The study recommends that the government establishes policies that will necessitate accessibility of credit to SMEs in the country.

scholarly journals Analisis LKM Posdaya Kenanga Terhadap Tingkat Pendapatan Pelaku Usaha Mikro di Kelurahan Situ Gede

2015 ◽  
Vol 9 (2) ◽  
Author(s):  
Nur Cholilah Junita Dalimunthe ◽  
Murdianto Murdianto
Keyword(s):  
Research Methods ◽  
Low Income ◽  
Financial Institution ◽  
Income Level ◽  
Business Development ◽  
The Poor ◽  
Spearman Test ◽  
Micro Enterprises ◽  
Micro Credit

<p>LKM is a financial institution that serves to distribute micro-credit to the poor or low-income community. The granted micro-creditis expected to help the community, especially micro entrepreneurs to be able to expand their business. Business development is astrategic step to increase micro entrepreneur revenue. However, LKM should consider about the level of target accuracy, resourceprovivion, and movement development. This research aimed to analyze the implementation of LKM Posdaya Kenanga to microentrepreneur income level in Situ Gede Village. The research methods were The Rank Spearman Test and Cross Tabulationwhich were used to determine the existence of relationship between the implementation of LKM to micro entrepreneur incomelevel. The results showed that the implementation of LKM Posdaya Kenanga did not have positive and significant relationshipto micro entrepreneur level because the amount of micro entrepreneur income was generally low.</p><p>Keywords: micro credit, micro entrepreneurs, micro enterprises development</p>

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