Influence of selected Socio-Economic Factors on Access to Agricultural Credit among Small-Scale Farmers in Nakuru County, Kenya
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Authors
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Martha W. Kariuki
Department of Agricultural Education and Extension, Egerton University, Kenya.
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Agnes Oywaya-Nkurumwa
Department of Agricultural Education and Extension, Egerton University, Kenya.
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John G. Mwangi
Department of Agricultural Education and Extension, Egerton University, Kenya.
Abstract
Agricultural credit can be used to enhance farm productivity and to ensure
sustainable food production. However, .most small-scale farmers in Nakuru
County who need the credit cannot access it for various reasons and therefore
its use remains low. This study sought to determine the influence of age,
gender, level of education and income on small-scale farmers' access to
agricultural credit in Nakuru County. The study used a cross-sectional survey
research design to collect and analyse data. The results showed that farmers'
fear of being denied credit or not being able to repay were the major reasons
hindering them from borrowing. The researchers recommended that Kenya
government through agricultural extension agents in collaboration with the
financial institutions should provide farmers with information on agricultural
credit and should establish cooperatives or credit associations through which
small-scale farmers could borrow agricultural credit. Financial institutions
offering agricultural credit should ensure agricultural loans are affordable, by
reducing interest rates.
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