Browsing by Person "Buchenrieder, Gertrud"

Now showing 1 - 3 of 3

Insurance preferences of smallholders : results from an adaptive conjoint analysis in Northern Vietnam
(2008) Buchenrieder, Gertrud; Fischer, Isabel
Livestock plays a pivotal role for smallholder production systems in mountainous Northern Vietnam. Poor rural farm households are vulnerable and their livelihood systems are often so fragile and finely-balanced that a small misfortune can destabilize the households for many years. Economic risks, especially loss of livestock, are one of the major reasons for slipping into poverty. Normally, insurance systems could step in here. In developing countries however, insurance markets are usually underdeveloped. Empirical research reveals that raising livestock and selling it in case of a livelihood emergency is a particularly popular risk management strategy. Based on the results of a computer-based Adaptive Conjoint Analysis (ACA) with 155 responding households of different ethnic minority groups in Son La and Bac Kan provinces of Northern Vietnam, this article examines insurance preferences of rural farm households. In general, smallholders are very interested in livestock insurance. The ?insured animal? is the most important attribute for all respondents and the buffalo is the highest valued animal. However, the critical issue is how to design the insurance package. It is argued that the provision of adapted livestock insurance could help decreasing household vulnerability by a forward looking risk management strategy. Insurance preferences of smallholders are presented and policy recommendations are given to improve the overall situation of vulnerable households in mountainous Northern Vietnam.
Outreach of credit institutes and households' access constraints to formal credit in Northern Vietnam
(2005) Dufhues, Thomas; Buchenrieder, Gertrud
Abstract Most policy and research interest regarding rural credit markets revolves around the perception that poor households in developing countries lack access to credit, which is believed to have negative consequences for household welfare. An important feature of the rural credit market is that access to credit is easier for some groups than for others. The Vietnamese government supplied credit on preferential terms, particularly to rural households, throug state-owned financial intermediaries. The share of the informal sector was thus considerably reduced from 78% (1992/93) of all outstanding loans to 54% (1997/98) in favor of the formal sector. However, there is evidence from other developing countries that credit constraints persist despite the expansion of rural finance. Hulme and Mosley (1996) state that there is increasing evidence that the poorest 20% of the population are excluded from rural credit programs. Thus, even in Vietnam the question remains: did the Vietnamese government succeed in reaching the poor, or do groups of people exist who are still access-constrained? Quantitative (N=260) and qualitative data collection took place between March 2000 and 2001. The quantitative data comprise cross-sectional household-level data from two different districts in Northern Vietnam. The poverty outreach of formal rural lenders was analyzed using Principal Component Analysis, while access to formal credit was investigated using a binary logit analysis. The poverty outreach of the formal lenders is quite satisfactory since about 50% of all predominantly poor rural households have access to formal credit. However, the poorest households are seldom clients of formal lenders. Yet, it is not their extreme general poverty that determines their access to formal credit. The results indicate that only certain aspects of poverty, e.g. low quality of housing, have an important influence on access to formal credit in Vietnam. The poorest households simply have much less demand for formal credit. Offering new credit products would only slightly improve the credit coverage of poorer households. More promising would be a specialized pro-poor extension service to widen the scope of their investment ideas and possibilities, combined with general improvement of the infrastructure. All in all, the most appropriate tool to incorporate poorer households into the formal financial system would be mobilization of savings. Nevertheless, the number of access-constrained households is surprisingly low. One reason for the low number is the weakening or eradication of former access constraints. Some acces barriers do still exist, e.g. towards ethnic minorities or female-led households. To reduce these access barriers, the actions to be taken should be catering to the specific needs and the circumstances of those households that lack access.
Targeting of and outreach to the poor by rural development nonprofit organizations in Cameroon
(2010) Balgah, Azibo Roland; Buchenrieder, Gertrud
The importance of nonprofit organizations such as rural development organizations, farmers associations and common initiative groups as drivers of change in rural areas has been generally recognized in the economics of nonprofit organizations. While the economic theories attempt to explain the formation and functioning of nonprofit organizations, the targeting and outreach performance of these organizations has received little attention and at best is empirically divergent. Using the example of a nonprofit rural development organization in North West Cameroon, this paper analyzes the relative poverty of beneficiaries and non beneficiaries of its small scale fish farming program as a proxy for targeting efficiency. Poverty is measured through multiple indicators as well as household incomes. The results show that the nonprofit organization did a commendable job in serving poor communities, although its self targeting approach led to a disproportionately higher share of beneficiaries from the moderately poor and better-off terciles than from the poorest. Beneficiaries also had higher asset values and incomes than nonbeneficiaries, although the contribution of the fish farming activity to these was insignificant. This means that these households were already better-off prior to the program and not necessarily as a consequence of service delivery. The paper concludes with the need for relative poverty assessments prior to service delivery for improved targeting and outreach performance, while considering the additional costs involved.