Do private consultants promote savings and investments in rural Mozambique?

Vista sencilla de ítem
dc.creatorChristian, Parul
dc.creatorGlover, Steven
dc.creatorKondylis, Florence
dc.creatorMueller, Valerie
dc.creatorRuzzante, Matteo
dc.creatorZwager, Astrid
dc.date2022-01
dc.date2024-04-12T13:37:38Z
dc.date2024-04-12T13:37:38Z
dc.date.accessioned2026-06-27T15:25:25Z
dc.descriptionAdvice from managementprofessionals can help small‐ and medium‐sized firms reach complex financial goals in low‐ and middle‐income countries. We apply lessons learned in the firm literature to determine the degree in which farmer associations face constraints to management and planning capacity that can be alleviated by the provision of advice from external consultants. In particular, we conducted a randomized control trial in 42 water user associations (WUAs) in Mozambique to examine whether more intensive attention from financial consultants through repeated follow‐up visits prompts households to save and invest in agricultural equipment. All WUAs received a financial literacy training and were eligible to receive a matching grant. Twenty‐one WUAs were randomized into the treatment group that additionally were visited by private consultants quarterly, who tailored their advice to meet individuals’ own savings and investment objectives. We find the follow‐up visits increase ‘hidden savings’ in the form of new capital investments on farmers’ own account. Thus, the visits may have changed savings’ habits by leading farmers to invest in technologies that were not directly subsidized. Our ability to detect an additional effect on the type of investments farmers targeted through the matching grant and, hence, the savings for the respective investments is limited given the power of our study design. Although the proportion of households saving increased, the intervention was likely less cost‐effective than other modalities aimed to enhance the proclivity to save.
dc.identifierhttps://hdl.handle.net/10568/141297
dc.identifier.urihttp://hdl.handle.net/123456789/103937
dc.languageen
dc.publisherInternational Association of Agricultural Economists
dc.relationhttps://doi.org/10.1111/ajae.12209
dc.rightsLimited Access
dc.sourceChristian, Paul; Glover, Steven; Kondylis, Florence; Mueller, Valerie; Ruzzante, Matteo; and Zwager, Astrid. 2022. Do private consultants promote savings and investments in rural Mozambique? Agricultural Economics 53(1): 22-36. https://doi.org/10.1111/agec.12672
dc.subjectgrants
dc.subjectinvestment
dc.subjectfinancial literacy
dc.subjectagriculture
dc.subjectsavings
dc.subjectrural areas
dc.subjectconsultancies
dc.titleDo private consultants promote savings and investments in rural Mozambique?
dc.typeJournal Article

Archivos

Colecciones

Instituto Internacional de Investigación sobre Políticas Alimentarias (IFPRI)