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Abstract: Agricultural finance is a key driver of
economic growth and global food security, but it continues to face a perception
of high risk due to climate vulnerability and market instability. The objective
of this research is to examine the financing mechanisms for agricultural
activities and the repayment strategies for agricultural loans in the Couffo
Department.
The methodological approach is based on
a literature review and surveys of 215 individuals. Data analysis was conducted
using SPSS 17.0 and ArcGIS 10.8 software.
The results show that agricultural
producers in the Couffo department have access to a variety of microfinance
institutions for credit, with certain institutions clearly dominating the
market. PEBCo-BETHESDA stands out significantly, serving 39.5% of the
beneficiary farmers, reflecting its strong local presence, its ability to
mobilize farmers, and its more flexible credit terms that are better adapted to
agricultural realities. It is followed by PADME, with 29.0% of beneficiaries, and
then by CLCAM at 24.8%. Within village savings groups and mutual aid societies,
farmers organize themselves into cooperatives to build collective savings,
which then enable them to access internal loans tailored to their needs. Access
to credit in the Couffo department varies considerably, ranging from rigorous
screening in formal institutions to immediate availability within informal
networks. Furthermore, the loan repayment rate has fallen by 15.91% in the
Couffo department. To meet their financial obligations, 81% of the producers
surveyed sacrifice their personal assets—particularly livestock or household
goods—to preserve their financial reputation, even though this compromises
their future productive capacity. Furthermore, 19% turn to non-agricultural
activities such as food processing, small-scale retail, or motorcycle taxi
services to generate the necessary cash flow. DOI: http://dx.doi.org/10.51505/ijaemr.2026.11410 |
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