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on Microfinance |
| By: | Mohammed Kaicer; Abdelilah Kaddar |
| Abstract: | In this work we will develop a new approach to solve the non repayment problem in microfinance due to the problem of asymmetric information. This approach is based on modeling and simulation of ordinary differential systems where time remains a primordial component, they thus enable microfinance institutions to manage their risk portfolios by a prediction of numbers of solvent and insolvent borrowers ever a period, in order to define or redefine its development strategy, investment and management in an area, where the population is often poor and in need a mechanism of financial inclusion. |
| Date: | 2019–07 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:1907.04937&r=all |
| By: | Joseph I. Uduji (University of Nigeria, Nsukka, Nigeria); Elda N. Okolo-Obasi (University of Nigeria, Nsukka, Nigeria); Simplice A. Asongu (Yaoundé, Cameroon) |
| Abstract: | Purpose – The purpose of this paper is to critically examine the impact of growth enhancement support scheme (GESS) on the enabling environment of smallholder farmers in sub-Saharan Africa. Its special focus is to investigate the GESS impact on access to rural farm credit and transport cost of smallholder farmers in the agricultural transformation agenda (ATA) in Nigeria. Design/methodology/approach – This paper adopts a survey research technique, aimed at gathering information from a representative sample of the population, as it is essentially cross-sectional that describes and interprets what exist at present. A total of one thousand, two hundred farmers were sampled across the six geopolitical zones of Nigeria. Findings – Results from the use of a double-hurdle model indicate that the GESS has a significant impact on farmers’ access to credit, but does not significantly affect rural farm transport cost, which subsequently influence the price of food in the country. Practical implication – This implies that if the federal government of Nigeria is to work towards an ideal agricultural transformation agenda, transport networks should be closely aligned with the GESS priorities to provide connectivity to rural areas that provide most of the country’s agricultural output. Originality/value – This research adds to the literature on agricultural and rural development debate in developing countries. It concludes that embracing rural finance and transportation infrastructure should form the foundation of the ATA in Nigeria, which in turn would provide the enabling environment for more widespread rural economy in sub-Saharan Africa. |
| Keywords: | Agricultural transformation agenda, Double-hurdle model, Smallholder farmers’ enabling environment |
| JEL: | Q10 Q14 L96 O40 O55 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:agd:wpaper:19/041&r=all |
| By: | Bulut, Mehmet; Korkut, Cem |
| Abstract: | In spite of the fact that the waqfs have existed with the history of humankind and are helpful in all social communities, they have a different and important place in Islamic societies. The waqfs have made assistance and solidarity between individuals organized and institutionalized. Especially in Islamic societies, a great importance has been attached to waqfs. The waqfs that helped institutionalize the concept of infaq met many needs of the community. One of the Islamic states where the waqfs are very active was the Ottoman Empire. The size of the waqf services in the Ottomans expanded so much that, besides the human services, waqfs for injured birds and sick animals were established. The fact that the waqfs are so widespread in the state has made it possible to refer the Ottoman Empire as a waqf civilization. One of the waqf types operating in the Ottoman Empire was the cash waqfs (CWs) which had cash money as capital. The CWs operated its capital with various Islamic finance methods. Revenues from the operating money were used in the direction of waqf purpose. The CWs provided the vital necessities of the society such as education and religion in the period they were active in the Ottoman Empire. Another function of these waqfs was to operate as a micro-credit mechanism. Through these waqfs, the surplus and the accumulated savings in the hands of the asset owners were made available to merchants, farmers, craftsmen, and artisans. Hence, these waqfs have served as resource transfer channels as well as functioning as a charity in the society. The main goal of CWs, which is the pioneer of modern Islamic financial institutions, is different from the goal of Islamic interest-free financial institutions. The CWs did not transfer the profits they got to the waqf founder or owner. The income obtained was spent to fulfill the charitable services. Therefore, these institutions created an altruistic finance model operating within the borders of Islamic prohibitions and orders. This model has its own principles. In our study, the financial mentality of the Ottoman society in the context of the CWs and how this mentality shaped the CWs will be discussed. The basic principles of this mentality and model will be emphasized. |
| Keywords: | Cash Waqfs; Ottoman Empire; Islamic Finance; Philanthropy; Altruistic Finance Model; basic principles of cash waqfs |
| JEL: | G21 N20 P45 Z12 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:94784&r=all |