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Publication Detail
PN 2016-15: How to Improve Smallholders' Access to Formal Credit: Lessons from the Agrarian Production Credit Program

The Agrarian Production Credit Program (APCP) is a credit program for smallholders designed and implemented by the Department of Agrarian Reform to provide smallholders with access to formal sources of credit. Under the APCP, documentary requirements for accessing credit have been streamlined to meet the level of financial education and literacy of agrarian reform beneficiaries (ARBs). This Policy Note reviews APCP's capacity to effectively address ARBs' problem with accessing formal sources of credit. Some lessons have emerged. APCP has provided credit to ARBs and agrarian reform beneficiaries' organizations, but loan repayment, not just provision of credit, should be equally emphasized to sustain the program. Smallholders need whole-of-government support that includes investments in rural infrastructure and communication, more effective extension services, and access to modern farming technologies and innovations to address binding constraints to productivity and growth.

Philippine Institute for Development Studies
Authors Keywords
Llanto, Gilberto M.; Geron, Ma. Piedad S.; Badiola, Jocelyn R.; Philippines; agrarian reform beneficiaries; smallholders; credit program; Department of Agrarian Reform; Agrarian Production Credit Program (APCP) ;
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Published in 2016 and available in the PIDS Library or Downloaded 980 times since August 15, 2016
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