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Reforming Cameroon's Government Credit Program: Effects on Liquidity Management by Small Farm Borrowers

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  • Francois Kamajou
  • C. B. Baker

Abstract

Higher interest rates and credit limits as well as modified lending practices have been proposed to improve the performance of credit programs for small farmers in developing countries. Models based on Cameroon field data are used to generate results from such reform proposals. The results suggest that small farmer benefits could be increased by increasing credit limits and flexibility in the use of loan proceeds, while reducing default rates and expanding program outreach.

Suggested Citation

  • Francois Kamajou & C. B. Baker, 1980. "Reforming Cameroon's Government Credit Program: Effects on Liquidity Management by Small Farm Borrowers," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 62(4), pages 709-718.
    • Handle: RePEc:oup:ajagec:v:62:y:1980:i:4:p:709-718.
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    File URL: http://hdl.handle.net/10.2307/1239769
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    Cited by:

    1. Moutie Giscard & Ngouhouo Ibrahim & Kamajou François, 2015. "Effect of Financial Intermediation on Economic Growth in Cameroon," International Journal of Management Sciences, Research Academy of Social Sciences, vol. 5(9), pages 639-649.
    2. Soliwoda, Michal & Kulawik, Jacek & Wieliczko, Barbara, 2018. "Financial instruments and EU community policies," Village and Agriculture (Wieś i Rolnictwo), Polish Academy of Sciences (IRWiR PAN), Institute of Rural and Agricultural Development, vol. 180(3), September.
    3. Mashatola, M.C. & Darroch, Mark A.G., 2003. "Factors affecting the loan status of sugarcane farmers using a graduated mortgage loan repayment scheme in KwaZulu-Natal," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 42(4), pages 1-13, December.
    4. Harris, Kim & Baker, Chester B., 1985. "Eliciting Liquidity Preferences For Cash And Intermediate Credit Reserves From Central Illinois Farmers," 1985 Regional Committee NC-161, October 9-10, 1985, St. Louis, Missouri 140934, Regional Research Committee NC-1014: Agricultural and Rural Finance Markets in Transition.
    5. repec:ags:ijag24:344526 is not listed on IDEAS
    6. R. Yabile Kinimo, 1985. "Recherche sur l'équilibre financier d'un programme de crédit agricole en Côte-d'Ivoire," Économie rurale, Programme National Persée, vol. 170(1), pages 36-38.

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