INFLUENCE OF GROUP LENDING ON ACCESSIBILITY OF CREDIT AMONG RETAILERS IN KENYA’S LOCAL MARKETS
Abstract
Access to finance is a key driver for survival and growth process of Small and medium enterprises, especially for retail traders. However, retail traders are still finding it difficult to access credit. Thus, the aim of the study was to determine the effect of innovative financial strategies on accessibility of credit among retail traders in Kakamega market as a general objective. This study adopted an explanatory research design. The target population of study comprised registered retail traders in Kakamega market. Stratified and simple random sampling was used to select a sample size of retail traders. Self-administered questionnaires were used to obtain the primary data required from the field. Data was analyzed both quantitatively and qualitatively by the use of Statistical Package for Social Science (SPSS 24). The analysis was used to determine the correlation that was considered under inferential analysis and central tendencies values were determined at descriptive level. The findings of the study indicated that effective innovative strategies had significant influence on Accessibility of Credit among the Retail Traders of Kakamega market. The recommendation was that the traders should embrace innovative financial strategies for success and development of their businesses.
Key Words: Group Based Lending, Mobile Banking, Agency Banking, Access to Credit
CITATION: Agoi, P. A. (2020). Influence of group lending on accessibility of credit among retailers in Kenya’s local markets. The Strategic Journal of Business & Change Management, 7(3), 1484 – 1496.
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DOI: http://dx.doi.org/10.61426/sjbcm.v7i3.1756
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