Factors influencing the extent of women access to agricultural credit from financial institutions in Wakiso district : a case of women in agricultural trade

Abstract

The purpose of this study was to analyze the factors influencing women access to agricultural credit from financial institutions; a case of women in agricultural trade in Wakiso district. In some countries, women-owned businesses are increasing at a very rapid pace in terms of both numbers and turnover. The scope of the study was formal financial lending institutions in Wakiso district and women in agricultural trade. The researcher interviewed a random sample of Financial Institution managers and as well as women in agricultural trade from four different food markets in Wakiso district namely: Kiteezi daily market, Kireka market, Bweyogerere market, and Nansana market in Wakiso district from the target population. To analyze the data, the researcher applied the one-way ANOVA test and descriptive statistics to characterize women by the extent of women access to agricultural credit from the financial institutions and a linear regression analysis to examine the factors that affect the extent of women access to agricultural trade from the financial institutions. The findings show that the age of the respondents, business net worth, the value of collateral security, the purpose of the loan, source of credit that is to say commercial banks relative to no source, money lenders relative to no source, support from the husband, credit score, hard, moderate and somewhat easy lending procedures relative to very hard lending procedures were significant in affecting the extent of women's access to agricultural credit from financial institutions. The study recommends that the financial institutions should establish lending procedures that are favorable and will attract women in agricultural trade and enable to access credit. The financial institutions should encourage the use of affordable collaterals that will ensure that women in agricultural trade are able to meet the requirements for accessing credit. Lack of affordability collateral was one of the hindrances that was highlighted as a challenge to women accessing agricultural credit.