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Article
Publication date: 19 June 2020

Alim Belek and Abega Ngono Jean Marie

Does MFIs agricultural credit influence the determinants of the efficiency of SFF which are socio-economic factors of the farmers but also agricultural endowments of family farms…

Abstract

Purpose

Does MFIs agricultural credit influence the determinants of the efficiency of SFF which are socio-economic factors of the farmers but also agricultural endowments of family farms? This paper aims to study the contribution of MFI services on improving the technical efficiency of SFFs in Cameroon.

Design/methodology/approach

The stochastic frontier analysis (SFA) model permits the estimation of the technical efficiency indicators for beneficiaries and nonbeneficiaries of agricultural credits on a sample of 130 cocoa farming households and four MFIs of the same area between 2008 and 2011. The censored tobit model is used to assess the determinants of technical efficiency.

Findings

The results show that the SFF beneficiaries of agricultural credit have an average technical efficiency of 0.68 inferior to that of nonbeneficiaries (0.72) as expected. They are, respectively, at 0.32 and 0.28 of their full productive capacities. The results of the censored Tobit model show that socioeconomic characteristics of the producer such as age and gender explain negatively, while experience explains positively the technical efficiency of SFFs.

Research limitations/implications

Although without any selectivity bias, this study indicates the essential character of the socioeconomic factors in the amplification of the role of the MFIs credit on the efficiency of SFFs.

Practical implications

Strategies to improve the efficiency of SFFs require an increase in MFI credits, primarily targeting young, experienced and female farmers.

Originality/value

This study examines the efficiency of SFFs by highlighting the interaction between the socio-economic factors of farmers and the credit of MFIs. It also points to the problem of monitoring the implementation of agricultural financing.

Details

Agricultural Finance Review, vol. 81 no. 1
Type: Research Article
ISSN: 0002-1466

Keywords

Article
Publication date: 25 June 2020

Alim Belek and Abega Ngono Jean-Marie

This study aims to assess the effects of microfinance institution (MFI) services on the productivity of family farms in Cameroon, in the region of Mbam and Kim. It will be a…

Abstract

Purpose

This study aims to assess the effects of microfinance institution (MFI) services on the productivity of family farms in Cameroon, in the region of Mbam and Kim. It will be a question, therefore, of determining the level and determiners of the outputs of family farms, in particular those concerned by the cultures of cocoa, beneficiaries of the agricultural services of MFIs.

Design/methodology/approach

The authors use the Blinder (1973) and Oaxaca (1973) model of decomposition of the productivity differential between beneficiaries and non-beneficiaries of agricultural credits on a sample of 130 cocoa farming households and four MFIs of the same area between 2008 and 2011.

Findings

The yield gap between beneficiaries and non-beneficiaries of agricultural credits is estimated at 0.19 tons per hectare. This gap is explained positively by the financial aid variable, the farm size variable, which is significant in the explanation of the beneficiaries' level of returns and the constant term. On the other hand, all the socio-economic variables of the farmers contribute to reduce this gap of productivity.

Research limitations/implications

This financial assistance from CVECA is essential to increase agricultural yields because it helps to cancel out some structural barriers. However, as this improvement in yields is only possible for large farms, the services of the MFIs would rather favor extensification policies. Nevertheless, the study results are limited by the negative effects of the socio-economic characteristics of the farmers on these yields, the study having been revealed without any selectivity bias.

Originality/value

This study seeks to reverse the trend that in rural areas, MFIs are financing agriculture to increase extensification rather than enhancing intensification in sub-Saharan Africa by challenging the role of MFI services in intensification.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 10 no. 5
Type: Research Article
ISSN: 2044-0839

Keywords

Article
Publication date: 27 December 2021

Avitus Agbor Agbor

In total, 10 years since the establishment of the Special Criminal Court (SCC) in Cameroon to deal with a specific kind of corruption, one may wonder whether any achievements have…

Abstract

Purpose

In total, 10 years since the establishment of the Special Criminal Court (SCC) in Cameroon to deal with a specific kind of corruption, one may wonder whether any achievements have been made so far in fulfilling its mandate and also assuaging the tense and toxic perception that the Court was established as an arsenal to witch-hunt political opponents. This study aims to look into the work done so far in this regard, and makes an assessment as to whether any accomplishments have been made in the first decade of its establishment.

Design/methodology/approach

This paper takes an evidence-based approach in seeking answers to what accomplishments, if any, have been made by the Court, explores the notion of corruption within Cameroon’s legislative and institutional landscape prior to the establishment of the Court and looks into the profiles of those who have been indicted by the SCC for that crime; the amounts that were misappropriated and for which they were convicted; the sentences imposed. It identifies some outstanding cases: where the amounts misappropriated exceeded a threshold and asks the question of what made it possible for these individuals to misappropriate such huge sums of money?

Findings

The inconsistencies and irrationality in the sentencing are a few findings made. Added to those is the timing of the establishment of the Court which, as most have perceived, is a political witch-hunting aimed at bringing credibility to a failed regime, as well as deal with a few political “irresponsibles” who were once the president’s buddies.

Research limitations/implications

This research unravels key insights into the functioning of the SCC. It advances the knowledge thereon and adds to the literature on corruption in Cameroon.

Practical implications

The establishment of the SCC is commendable. However, as it deals with but a particular kind of corruption, it might be necessary to rethink the need of additional institutional mechanisms that have specialized jurisdiction to deal with the different kinds of corruption in Cameroon.

Social implications

The paper highlights the entrenched nature of corruption in the social fabrics of Cameroonian society, and exposes the need for a much holistic approach in dealing with corruption, as the SCC offers but one institutional mechanism toward that direction.

Originality/value

This paper, given the issues discussed therein, and considering the dearth of literature on the topic, advances the literature on the SCC in particular and the problem of endemic corruption in Cameroon in general.

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