African Journal of Agricultural Economics and Rural Development

African Journal of Agricultural Economics and Rural Development Vol. 1 (1), pp. 001-007, September, 2013. © International Scholars Journals

Full Length Research Paper

Determinants of women’s participation in microfinance services: empirical evidence from Rural Dire Dawa, Ethiopia

Dereje Kifle¹, Yenenesh Tadesse², Sisay Belay³ and Jemal Yousuf⁴

^{1, 2, 3}Department of Rural Development and Agricultural Extension, Haramaya University, Ethiopia.

⁴Assistant Professor and Head, Department of Rural Development and Agricultural Extension, Haramaya University, Ethiopia.

*Corresponding  author. E-mail: [email protected]

Accepted 26 July, 2013

Abstract

This study intended to identify the potential determinants of women’s participation decision in microfinance services in Rural Dire Dawa, Ethiopia. 203 participants were selected and stratified into users (151) and non-users (52). The survey data was analyzed using descriptive statistics like chi-square test and T-test. Binary probit regression model was also fitted. The study revealed that amount of monthly saving; family size and landholding in hectares were the significant determinants of the women’s participation decisions on microfinance services. Therefore, the study concluded that creating an enabling land access institutions and capital asset accumulation were priority strategy for microfinance development.

Key words: Women’s participation, microfinance services, Rural Dire Dawa, Ethiopia,decisions.