Volume 5, Issue 3, May 2020, Page: 71-79
Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region
Yenibehit Nanii, Department of Agribusiness, Animal Health and Production College, Pong Tamale, Ministry of Food and Agriculture (MoFA), Pong-Tamale, Ghana; Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Awoyemi Abiodun Emmanuel, Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Akorsikumah Eli Andreaws, Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Akurugu Sumaila, Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana; Department of Social Welfare and Community Development, Tolon District Assembly, Tolon - Northern Region, Ghana
Adongo Azure Simon, Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Adam Umar, Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Alhassan Abdul Fataw, Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Received: May 2, 2020;       Accepted: May 26, 2020;       Published: Jun. 17, 2020
DOI: 10.11648/j.ijae.20200503.13      View  126      Downloads  44
Abstract
This paper adopted the PPO model to examine determinants of the confidence level of farmers on the financial institutions using 274 randomly selected farmers from Ejura Sekeredumase Municipality. About 44.9% of the farmers reported not having confidence in the financial institutions of the country, 21.9% were somehow confident in the sector, 17.5% were confident whereas only 15.7% were very confident in the sector. Male farmers were more likely to be very confident in the financial sector whilst education in years, farmers who ever lost savings or investment as well as those with current savings and/or investment all had positive outcome in the likelihood of being very confident in the financial sector. Duration of farmers with a financial institution and farmers who ever encountered challenges in a financial institution are less likely to be very confident in financial institutions in Ghana. The Central Bank should develop a different proactive educational model or approach to educate farmers on how to identify risk and other exposures that may be associated with the financial institutions operating in the rural areas in order to enable them to take decisions towards savings and investment. This will boost their confidence levels.
Keywords
Ejura Sekeredumase Municipality, Farmers, Financial Institutions, Parallel Lines Assumptions, Partial Proportional Odds Model
To cite this article
Yenibehit Nanii, Awoyemi Abiodun Emmanuel, Akorsikumah Eli Andreaws, Akurugu Sumaila, Adongo Azure Simon, Adam Umar, Alhassan Abdul Fataw, Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region, International Journal of Agricultural Economics. Vol. 5, No. 3, 2020, pp. 71-79. doi: 10.11648/j.ijae.20200503.13
Copyright
Copyright © 2020 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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