The recent proliferation of mobile phones in rural Africa has also led to increased interest in mobile financial services (MFS), such as mobile money and mobile banking. Such services are often portrayed as promising tools to improve agricultural finance, especially among smallholders who are typically underserved by traditional banks. However, empirical evidence on the actual use of MFS for agricultural activities is thin. Here, we use nationally representative data from Kenya to analyze the use of mobile payments, mobile savings, and mobile credit among the farming population. We find that more than 80% of farmers use mobile money, but only 15% use this innovation for agriculture-related payments. Mobile loans for agricultural investments are used by less than 1% of farmers. Usage rates are somewhat higher among farmers in modern supply chains, even though for them traditional banking services are often also accessible and still much more important. Overall, the use of MFS for agriculture is lower than commonly assumed, indicating that these services do not yet have a transformative impact on smallholder farming. As Kenya is one of the leaders of the MFS boom in Africa, this general finding likely holds for other African countries as well.
With the commercialization of agriculture, women are increasingly disadvantaged because of persistent gender disparities in access to productive resources. Farmer collective action that intends to improve smallholder access to markets and technology could potentially accelerate this trend. Here, we use...
Supermarkets and high-value exports are currently gaining ground in the agri-food systems of many developing countries. While recent research has analyzed income effects in the small farm sector, impacts on farming efficiency have hardly been studied. Using a survey of...
Classical innovation adoption models implicitly assume homogenous information flow across farmers, which is often not realistic. As a result, selection bias in adoption parameters may occur. We focus on tissue culture (TC) banana technology that was introduced in Kenya more...
Mobile phone based money services have spread rapidly in many developing countries. We analyze micro level impacts using panel data from smallholder farmers in Kenya. Mobile money use has a large positive net impact on household income. One important pathway...
La co-conception de systèmes agricoles innovants est une piste prometteuse pour répondre au défi de l’innovation, notamment pour les exploitations agricoles familiales africaines confrontées à de multiples changements. Mais il faut penser à la place et aux rôles tenus par...
