Absorption capacity of SMEs for term lending facility in the three Northern Regions of Ghana

Published on

September 23, 2015

A technical survey from AGRA investigates factors inhibiting the absorption capacity of small and medium enterprises in Ghana:

Despite adopting the value chain approach and targeting key actors who had proven need for term finance for investments, DANIDA, a key development partner in Ghana, noticed during program implementation that the term facility was not meeting its target goals.

This SME survey conducted in three Northern regions in Ghana assessed the absorption capacity of agricultural actors along the value chain through interviews, primarily with processors, off-takers, aggregators, marketers, nucleus farmers, agro dealers and secondary famer-based organizations. In addition to identifying inhibiting factors for the absorption capacity of SMEs, the study also explores supply-side challenges.

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Learning Lab Partner

Alliance for a Green Revolution in Africa (AGRA) facilitates FISFAP, an initiative that aims to reduce food insecurity and increase the incomes of about 700,000 smallholder farmers in Kenya, Tanzania and Ghana by February 2020 by working with financial institutions and agriculture value chain actors.

Press release: AGRA and The MasterCard Foundation partnership 

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