Credit Rationing and Maize Productivity in Burkina Faso
Date
2021-11-25
Authors
Coulibaly, Doubahan Adeline
Porgo, Mohamed
Journal Title
Journal ISSN
Volume Title
Publisher
African Economic Research Consortium
Abstract
Access to credit constitutes a major challenge for agricultural productivity
improvement in rural Burkina Faso. This paper analyses the impact of credit rationing
on maize producers’ technical efficiency, using survey data collected in 2014. Applying
a stochastic frontier approach with the data, the results of the estimation show that
the average level of maize producers’ technical efficiency was 0.496. Using an interval
regression model with endogenous treatment to assess the impact of credit rationing
on technical efficiency, the results show that maize producers’ technical efficiency
can be improved by 0.173 units if credit constraints were removed. The results also
show that access to information and membership in farmer-based organizations were
factors lowering the probability of being rationed in credit market in rural Burkina Faso.