Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region

Yenibehit Nanii; Awoyemi Abiodun Emmanuel; Akorsikumah Eli Andreaws; Akurugu Sumaila; Adongo Azure Simon; Adam Umar; Alhassan Abdul Fataw

doi:doi:10.11648/j.ijae.20200503.13

Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region

Yenibehit Nanii, Awoyemi Abiodun Emmanuel, Akorsikumah Eli Andreaws, Akurugu Sumaila, Adongo Azure Simon, Adam Umar, Alhassan Abdul Fataw

Published in International Journal of Agricultural Economics (Volume 5, Issue 3)

Received: 2 May 2020 Accepted: 26 May 2020 Published: 17 June 2020

Views: Downloads:

Download PDF

Share This Article

Twitter
Linked In
Facebook

Abstract

This paper adopted the PPO model to examine determinants of the confidence level of farmers on the financial institutions using 274 randomly selected farmers from Ejura Sekeredumase Municipality. About 44.9% of the farmers reported not having confidence in the financial institutions of the country, 21.9% were somehow confident in the sector, 17.5% were confident whereas only 15.7% were very confident in the sector. Male farmers were more likely to be very confident in the financial sector whilst education in years, farmers who ever lost savings or investment as well as those with current savings and/or investment all had positive outcome in the likelihood of being very confident in the financial sector. Duration of farmers with a financial institution and farmers who ever encountered challenges in a financial institution are less likely to be very confident in financial institutions in Ghana. The Central Bank should develop a different proactive educational model or approach to educate farmers on how to identify risk and other exposures that may be associated with the financial institutions operating in the rural areas in order to enable them to take decisions towards savings and investment. This will boost their confidence levels.

Published in	International Journal of Agricultural Economics (Volume 5, Issue 3)
DOI	10.11648/j.ijae.20200503.13
Page(s)	71-79
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2020. Published by Science Publishing Group

Keywords

Ejura Sekeredumase Municipality, Farmers, Financial Institutions, Parallel Lines Assumptions, Partial Proportional Odds Model

References

[1]	Enu Patrick (2014), Analysis of the Agricultural Sector of Ghana and its Economic Impact on Economic growth, Academic Research International 5 (4). ISSN: 2223-9944, eISSN: 2223-9553.
[2]	Ghana Statistical Service [GSS](2019). Rebased 2013-2018 Annual Gross Domestic Product, April 2019 Edition www.statsghana.gov.gh. Accessed on 20^th January, 2020.
[3]	Awoyemi, A. E.; Olajide, O. A. Assessment of the Degree of Households’ Vulnerability to Climate Variability in Nigeria BT - Handbook of Climate Change Resilience; Leal Filho, W., Ed.; Springer International Publishing: Cham, Switzerland, 2018; pp. 1–16, ISBN 978-3-319-71025-9.
[4]	Abunyuwah, I., Yenibehit, N., & Ahiale, E. D. (2019). Technical Efficiency of Carrot Production in the Asante-Mampong Municipality Using Stochastic Frontier Analysis. Journal of Agriculture and Environmental Sciences, 8 (2), 14-21.
[5]	Echeverría, R. G., & Beintema, N. M. (2009). Mobilizing financial resources for agricultural research in developing countries: Trends and mechanisms. Global Forum on Agricultural Research.
[6]	Akuffo-Duah, B. (2011). Competition in the Banking Industry of Ghana (Dissertation; Commonwealth Executive Masters in Business Administration (CEMBA), Kwame Nkrumah University of Science and Technology).
[7]	BANK OF GHANA (2019): Banking Sector Report. https://www.bog.gov.gh/banking_sect_report/banking-sector-report-september-2019/. Accessed on 10^th January 2020.
[8]	Oduro, R., Asiedu, M. A., & Gadzo, S. G. (2019). Impact of credit risk on corporate financial performance: Evidence from listed banks on the Ghana stock exchange. Journal of Economics and International Finance, 11 (1), 1-14.
[9]	Sarpong S. (2018) Ensuring Sanity in Ghana’s Financial Sector: A Focus on Ghana’s Microfinance Institutions. In: Díaz Díaz B., Idowu S., Molyneux P. (eds) Corporate Governance in Banking and Investor Protection. CSR, Sustainability, Ethics & Governance. Springer, Cham, pp. 287-301. https://doi.org/10.1007/978-3-319-70007-6_14. Accessed on 9th June, 2019.
[10]	Ayanou T. (2011). An Impact Assessment of Microfinance Institutions on Women Entrepreneurs in Small and Medium Enterprises A Case Study of Sinapi Aba Trust. Kwame Nkrumah University of Science and Technology.
[11]	Bola, M. (2017). Public confidence in microfinance institutions and demand for microfinance services in Ghana (Undergraduate dissertation, Ashesi University College).
[12]	Skvarciany, V., & Jureviciene, D. (2013). The Concept of Confidence in Bank. In T. Loster, & T. Pavelka (Eds.), 7th International Days of Statistics and Economics (pp. 532-540). Melandrium.
[13]	Dutch Banking Association [DBA], (2017). Banking Confidence Monitor 2017. Gustav Mahlerplein, Amsterdam. Retrieved from https://www.nvb.nl/media/1103/banking confidence-monitor-2017.pdf on 9th June, 2019.
[14]	Hussein, K. (2016). Bank-Level Stability Factors and Consumer Confidence—A Comparative Study of Islamic and Conventional Banks’ Product Mix. In Islamic Finance (pp. 86-104). Palgrave Macmillan, Cham.
[15]	Mosch, Robert; Prast, Henriëtte (2010): Confidence and trust: empirical investigations for the Netherlands and the financial sector, Beiträge zur Jahrestagung desVereins für Socialpolitik 2010: Ökonomie der Familie - Session: Trusting Banks in a Financial Crisis, No. A1-V2, Verein für Socialpolitik, Frankfurt a. M. Retrieved from http://hdl.handle.net/10419/37384. Accessed on 9^th June, 2019
[16]	Drobot, S. (2015). Consumer Confidence and Household Deposits (Doctoral dissertation, Kyiv School of Economics).
[17]	Ministry of food and agriculture (2012). Ejura Sekeredumase municipal assembly. Retrieved from http://www.MoFA.gov.gh. Accessed on 9th June, 2019.
[18]	Ghana Statistical Services,. (2010). Population & Housing Census: Summary Report of Final Results (p. 23). Accra: Ghana Statistical Services. Retrieved from http://www.statsghana.gov.gh/docfiles/2010phc/Census2010_Summary_report_of_final_results.pdf
[19]	Williams, R. (2006). Generalized ordered logit/partial proportional odds models for ordinal dependent variables. The Stata Journal, 6 (1), 58-82.
[20]	Bender, R. and Grouven, U. (1998). Using binary logistic regression models for ordinal data with non-proportional odds. Journal of Clinical Epidemiology, 51 (10), 809-816.
[21]	Long, J. S., and J. Freese. 2006. Regression Models for Categorical Dependent Variables Using Stata. 2nd ed. College Station, TX: Stata Press.
[22]	Soon, J. J. (2010). The determinants of students' return intentions: A partial proportional odds model. Journal of Choice Modelling, 3 (2), 89-112.

Cite This Article

Plain Text BibTeX RIS

APA Style

Yenibehit Nanii, Awoyemi Abiodun Emmanuel, Akorsikumah Eli Andreaws, Akurugu Sumaila, Adongo Azure Simon, et al. (2020). Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region. International Journal of Agricultural Economics, 5(3), 71-79. https://doi.org/10.11648/j.ijae.20200503.13

Copy | Download

ACS Style

Yenibehit Nanii; Awoyemi Abiodun Emmanuel; Akorsikumah Eli Andreaws; Akurugu Sumaila; Adongo Azure Simon, et al. Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region. Int. J. Agric. Econ. 2020, 5(3), 71-79. doi: 10.11648/j.ijae.20200503.13

Copy | Download

AMA Style

Yenibehit Nanii, Awoyemi Abiodun Emmanuel, Akorsikumah Eli Andreaws, Akurugu Sumaila, Adongo Azure Simon, et al. Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region. Int J Agric Econ. 2020;5(3):71-79. doi: 10.11648/j.ijae.20200503.13

Copy | Download

@article{10.11648/j.ijae.20200503.13,
  author = {Yenibehit Nanii and Awoyemi Abiodun Emmanuel and Akorsikumah Eli Andreaws and Akurugu Sumaila and Adongo Azure Simon and Adam Umar and Alhassan Abdul Fataw},
  title = {Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region},
  journal = {International Journal of Agricultural Economics},
  volume = {5},
  number = {3},
  pages = {71-79},
  doi = {10.11648/j.ijae.20200503.13},
  url = {https://doi.org/10.11648/j.ijae.20200503.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijae.20200503.13},
  abstract = {This paper adopted the PPO model to examine determinants of the confidence level of farmers on the financial institutions using 274 randomly selected farmers from Ejura Sekeredumase Municipality. About 44.9% of the farmers reported not having confidence in the financial institutions of the country, 21.9% were somehow confident in the sector, 17.5% were confident whereas only 15.7% were very confident in the sector. Male farmers were more likely to be very confident in the financial sector whilst education in years, farmers who ever lost savings or investment as well as those with current savings and/or investment all had positive outcome in the likelihood of being very confident in the financial sector. Duration of farmers with a financial institution and farmers who ever encountered challenges in a financial institution are less likely to be very confident in financial institutions in Ghana. The Central Bank should develop a different proactive educational model or approach to educate farmers on how to identify risk and other exposures that may be associated with the financial institutions operating in the rural areas in order to enable them to take decisions towards savings and investment. This will boost their confidence levels.},
 year = {2020}
}

Copy | Download

TY  - JOUR
T1  - Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region
AU  - Yenibehit Nanii
AU  - Awoyemi Abiodun Emmanuel
AU  - Akorsikumah Eli Andreaws
AU  - Akurugu Sumaila
AU  - Adongo Azure Simon
AU  - Adam Umar
AU  - Alhassan Abdul Fataw
Y1  - 2020/06/17
PY  - 2020
N1  - https://doi.org/10.11648/j.ijae.20200503.13
DO  - 10.11648/j.ijae.20200503.13
T2  - International Journal of Agricultural Economics
JF  - International Journal of Agricultural Economics
JO  - International Journal of Agricultural Economics
SP  - 71
EP  - 79
PB  - Science Publishing Group
SN  - 2575-3843
UR  - https://doi.org/10.11648/j.ijae.20200503.13
AB  - This paper adopted the PPO model to examine determinants of the confidence level of farmers on the financial institutions using 274 randomly selected farmers from Ejura Sekeredumase Municipality. About 44.9% of the farmers reported not having confidence in the financial institutions of the country, 21.9% were somehow confident in the sector, 17.5% were confident whereas only 15.7% were very confident in the sector. Male farmers were more likely to be very confident in the financial sector whilst education in years, farmers who ever lost savings or investment as well as those with current savings and/or investment all had positive outcome in the likelihood of being very confident in the financial sector. Duration of farmers with a financial institution and farmers who ever encountered challenges in a financial institution are less likely to be very confident in financial institutions in Ghana. The Central Bank should develop a different proactive educational model or approach to educate farmers on how to identify risk and other exposures that may be associated with the financial institutions operating in the rural areas in order to enable them to take decisions towards savings and investment. This will boost their confidence levels.
VL  - 5
IS  - 3
ER  -

Copy | Download

Author Information

Yenibehit Nanii

Department of Agribusiness, Animal Health and Production College, Pong Tamale, Ministry of Food and Agriculture (MoFA), Pong-Tamale, Ghana
Awoyemi Abiodun Emmanuel

Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Akorsikumah Eli Andreaws

Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Akurugu Sumaila

Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Adongo Azure Simon

Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Adam Umar

Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana
Alhassan Abdul Fataw

Department of Agricultural and Resource Economics, University for Development Studies (UDS), Nyankpala Campus, Nyankpala, Ghana

Download PDF

Sections

Plain Text BibTeX RIS

APA Style

Yenibehit Nanii, Awoyemi Abiodun Emmanuel, Akorsikumah Eli Andreaws, Akurugu Sumaila, Adongo Azure Simon, et al. (2020). Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region. International Journal of Agricultural Economics, 5(3), 71-79. https://doi.org/10.11648/j.ijae.20200503.13

Copy | Download

ACS Style

Yenibehit Nanii; Awoyemi Abiodun Emmanuel; Akorsikumah Eli Andreaws; Akurugu Sumaila; Adongo Azure Simon, et al. Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region. Int. J. Agric. Econ. 2020, 5(3), 71-79. doi: 10.11648/j.ijae.20200503.13

Copy | Download

AMA Style

Yenibehit Nanii, Awoyemi Abiodun Emmanuel, Akorsikumah Eli Andreaws, Akurugu Sumaila, Adongo Azure Simon, et al. Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region. Int J Agric Econ. 2020;5(3):71-79. doi: 10.11648/j.ijae.20200503.13

Copy | Download

@article{10.11648/j.ijae.20200503.13,
  author = {Yenibehit Nanii and Awoyemi Abiodun Emmanuel and Akorsikumah Eli Andreaws and Akurugu Sumaila and Adongo Azure Simon and Adam Umar and Alhassan Abdul Fataw},
  title = {Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region},
  journal = {International Journal of Agricultural Economics},
  volume = {5},
  number = {3},
  pages = {71-79},
  doi = {10.11648/j.ijae.20200503.13},
  url = {https://doi.org/10.11648/j.ijae.20200503.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijae.20200503.13},
  abstract = {This paper adopted the PPO model to examine determinants of the confidence level of farmers on the financial institutions using 274 randomly selected farmers from Ejura Sekeredumase Municipality. About 44.9% of the farmers reported not having confidence in the financial institutions of the country, 21.9% were somehow confident in the sector, 17.5% were confident whereas only 15.7% were very confident in the sector. Male farmers were more likely to be very confident in the financial sector whilst education in years, farmers who ever lost savings or investment as well as those with current savings and/or investment all had positive outcome in the likelihood of being very confident in the financial sector. Duration of farmers with a financial institution and farmers who ever encountered challenges in a financial institution are less likely to be very confident in financial institutions in Ghana. The Central Bank should develop a different proactive educational model or approach to educate farmers on how to identify risk and other exposures that may be associated with the financial institutions operating in the rural areas in order to enable them to take decisions towards savings and investment. This will boost their confidence levels.},
 year = {2020}
}

Copy | Download

TY  - JOUR
T1  - Determinants of Farmers’ Confidence Level in the Financial Sector of Ghana: A Case of the Ejura Sekeredumase Municipality of the Ashanti Region
AU  - Yenibehit Nanii
AU  - Awoyemi Abiodun Emmanuel
AU  - Akorsikumah Eli Andreaws
AU  - Akurugu Sumaila
AU  - Adongo Azure Simon
AU  - Adam Umar
AU  - Alhassan Abdul Fataw
Y1  - 2020/06/17
PY  - 2020
N1  - https://doi.org/10.11648/j.ijae.20200503.13
DO  - 10.11648/j.ijae.20200503.13
T2  - International Journal of Agricultural Economics
JF  - International Journal of Agricultural Economics
JO  - International Journal of Agricultural Economics
SP  - 71
EP  - 79
PB  - Science Publishing Group
SN  - 2575-3843
UR  - https://doi.org/10.11648/j.ijae.20200503.13
AB  - This paper adopted the PPO model to examine determinants of the confidence level of farmers on the financial institutions using 274 randomly selected farmers from Ejura Sekeredumase Municipality. About 44.9% of the farmers reported not having confidence in the financial institutions of the country, 21.9% were somehow confident in the sector, 17.5% were confident whereas only 15.7% were very confident in the sector. Male farmers were more likely to be very confident in the financial sector whilst education in years, farmers who ever lost savings or investment as well as those with current savings and/or investment all had positive outcome in the likelihood of being very confident in the financial sector. Duration of farmers with a financial institution and farmers who ever encountered challenges in a financial institution are less likely to be very confident in financial institutions in Ghana. The Central Bank should develop a different proactive educational model or approach to educate farmers on how to identify risk and other exposures that may be associated with the financial institutions operating in the rural areas in order to enable them to take decisions towards savings and investment. This will boost their confidence levels.
VL  - 5
IS  - 3
ER  -

Copy | Download