Purpose – The purpose of this paper is to estimate the impact of financial derivatives on profitability in agricultural banks. Agricultural banks are new to the derivatives market and are unlikely to use financial derivatives for risk speculation. Thus, the paper also provides evidence on the...

Purpose – The purpose of this paper is to introduce a novel measure of access to credit suited to estimate the relative change in credit reserves. Design/methodology/approach – A debt possibility frontier is estimated using data envelopment analysis and the Malmquist index is calculated. The...

Purpose – Based on a survey of 897 farm households, the purpose of this paper is to build a framework using cluster analysis to explain how farmers make decisions on joining group guarantee, and analyzes factors influencing their decisions using multinomial and binary Logit regressions....

Purpose – The purpose of this paper is to investigate the lender-borrower relationship as it relates to Sannong loans for agricultural and rural financial markets by Rural Credit Cooperatives (RCCs) and other rural lenders. This paper is motivated by recent reforms to the rural credit market...

Purpose – Using a unique dataset of a commercial microfinance institution (MFI) in Madagascar, the purpose of this paper is to investigate how credit access probabilities and loan volume rationing magnitudes for farmers change if the MFI switches to offer flexible microfinance loans, which can...

Purpose – The purpose of this paper is to compare the characteristics of farms who participate in farm management associations to the wider population of farms at the state level. Design/methodology/approach – Farm-level records obtained from the USDA's Agricultural Resource Management...

Purpose – The purpose of this paper is to identify, present and compare agricultural production financing alternatives available to grain producers in South Africa. From the South African perspective, agricultural land cannot always be utilised as collateral and therefore alternative financing...

Purpose – The purpose of this paper is to investigate changes proposed in 2012 to commodity programs for the new Farm Bill. Both the Senate and House Agriculture Committee versions of the new Farm Bill eliminate current commodity programs including direct payments, create new revenue‐based...

Purpose – The global demand for food is expected to increase by 60 percent by 2050 when the world’s population reaches 9.1 billion. To meet this challenge significant investment in the agricultural sector is required to embrace innovative financing mechanisms that can benefit sustainable...

Purpose – Based on the Normalized Difference Vegetation Index (NDVI)-based insurance developed by the Ministry of Agriculture, Livestock and Fisheries of Argentina (MAGyP) with technical assistance of the World Bank (WB), the purpose of this paper is to evaluate the out-of-sample performance...