Adequacy of Supply and Demand for Agricultural Finance in Benin: Analysis of Access and Satisfaction of Agricultural Producers with Financial Services
Comlan Hervé SOSSOU, Victor CODJO, Elysée M. HOUEDJOFONON

In Benin, despite the coexistence of commercial banks and decentralized financing systems, it can be seen that conventional banks, unlike microfinance institutions, give little or even little credit to actors in the rural world. The objective of this article was to analyze producers' access and their satisfaction to financial services from Micro Finance Institutions (MFI) in Benin. Data were collected using questionnaires and an interview guide from a sample of 4480 producers. The assessment of access rates, coverage of credit applications and the satisfaction rate of agricultural producers of agricultural financial products was made from descriptive statistics and the Pearson Chi-square homogeneity test while the he analysis of the determinants of producers' access to MFI financial services was done using a binomial Logit econometric model. The results showed that the rate of access of agricultural producers to MFI financial products remains low across the country. The main determinants of supply and demand for financial services at the producer level are agricultural income, education level, knowledge of the MFI and the possession of guarantees which have a positive effect on access and demand for agricultural credits. The results also showed that most producers are satisfied with the financial services provided by MFIs.

Full Text: PDF     DOI: 10.15640/jaes.v9n2a6