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Publication Detail
ACPC MS 2001-05: ACPC: A Catalyst in Rural Finance Policy Reforms

Since its creation in 1986, the ACPC has pointed to four main factors that influence the lethargic flow of credit to agriculture and fisheries, namely (a) the much greater demand for credit in the sector vis-à-vis available government resources; (b) the non-bankability of most small farmers and fisherfolk; (c) the inadequacy, or even inappropriateness, of the existing credit delivery system to small farmers and fisherfolk; and (d) the high cost involved in lending to agricultural projects. This paper discusses the strategies undertaken by the agency to address the factors inhibiting agriculture and fisheries credit: (1) the rationalization of government intervention; (2) reduction of banks' and borrowers' risks; (3) promotion of farmers'/fisherfolk's bankability; (4) encouragement of innovations in the financing of projects; and (5) the reduction of intermediation costs. A summary of the agency's accomplishments over the years under the said strategies are also presented in the paper.

Agricultural Credit Policy Council
Authors Keywords
ACPC; rural finance; agricultural credit; agricultural finance; rural finance policy;
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Published in 2001 and available in the ACPC Library or Downloaded 457 times since November 25, 2011
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