Malawi: agricultural credit in the Lilongwe Land Development Programme. In: Project performance of IRD-programmes in Sierra Leone and Malawi
Nankumba, J.S.
Studien zur Integrierten Landlichen Entwicklung 15: 125-180
1986
Document Number: 626802
This study evaluates: (1) the types, terms and conditions of agricultural credit offered to smallholder farmers by both private and public institutions; (2) agricultural credit policies adopted by private and public lending institutions; (3) the level of input used by smallholder farmers; and (4) the relative changes in productivity of small farms. It notes that only a limited number of farmers have benefited from institutional credit. The study reveals a high degree of ignorance of small scale farmers about the functions and risks of credit. Credit funds which can be used for social and consumption needs are obtainable only from private lenders at high interest rates. A rearrangement of the credit system to include so far neglected groups is recommended.