Main menu

Local Saving Mobilization: practical challenges and potential strategies in Ethiopia

Abstract: 

This paper presents field findings as to why efficient financial intermediation is not happening at local level, based on an extensive assessment of saving mobilization efforts by twelve microfinance institutions with branch networks distributed throughout different geographies of Ethiopia. Sponsored by DfID, WB and DAI, a total of 60 Focus Group Discussions, and more individual interviews have been conducted with players both on the supply and demand side. It highlighted key shortcomings, especially on supply side strategies which falls short of offering products and services suitable to local contexts, effectively communicated to people living in diverse geographies and cultures, majority of whom struggling to manage livelihoods through complex mix of agricultural and non-agricultural economic systems, and working under established power dynamics at household and community level.This paper presents field findings as to why efficient financial intermediation is not happening at local level, based on an extensive assessment of saving mobilization efforts by twelve microfinance institutions with branch networks distributed throughout different geographies of Ethiopia. Sponsored by DfID, WB and DAI, a total of 60 Focus Group Discussions, and more individual interviews have been conducted with players both on the supply and demand side. It highlighted key shortcomings, especially on supply side strategies which falls short of offering products and services suitable to local contexts, effectively communicated to people living in diverse geographies and cultures, majority of whom struggling to manage livelihoods through complex mix of agricultural and non-agricultural economic systems, and working under established power dynamics at household and community level.

Corporate Author: 
Ethiopian Economics Association (EEA)
Publisher: 
Ethiopian Economics Association (EEA)
ISBN/ISSN: 
978-99944-54-59-4
Primary Descriptors: 

Microsaving, Empowerment,

Secondary Descriptor: 

 Product Development, Marketing, Institutional Culture

Geographic Descriptors: 
Ethiopia
Cataloge Date: 
09/28/2017
Broad Subject heading: 
Saving
Call Number: 
330.0963 PRO 2017
Serial Key Title: 
Proceedings of the Fourteenth International Conference on the Ethiopian Economy
Publication catagory: 
Content type: 
Volume: 
I
Year: 
2017
Publication date: 
2017-06-01 00:00:00
Conference Place: 
Addis Ababa, EEA Multi-purpose Building Conference Hall
Place of publication: 
Addis Ababa, Ethiopia
Type of material: 
Book
Current frequency: 
Annually
Thematic area: 
Macroeconomics, Trade and Industry Related Topics
Conference date: 
July 21 – 23, 2016