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Status and determinants of saving behavior and intensity in pastoral and agro-pastoral communities of Afar regional state, Ethiopia

Saving is a crucial tool for enhancing the livelihoods of pastoral and agro-pastoral communities, but due to a number of factors, its status and intensity are still in their infancy. Because of this, the current state of saving practices, their causes, and the size of pastoral and agro-pastoral comm...

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Autores principales: Asfaw, Dagmawe Menelek, Belete, Atinkugn Assefa, Nigatu, Abibual Getachew, Habtie, Getnet Mamo
Formato: Online Artículo Texto
Lenguaje:English
Publicado: Public Library of Science 2023
Materias:
Acceso en línea:https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9934354/
https://www.ncbi.nlm.nih.gov/pubmed/36795676
http://dx.doi.org/10.1371/journal.pone.0281629
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author Asfaw, Dagmawe Menelek
Belete, Atinkugn Assefa
Nigatu, Abibual Getachew
Habtie, Getnet Mamo
author_facet Asfaw, Dagmawe Menelek
Belete, Atinkugn Assefa
Nigatu, Abibual Getachew
Habtie, Getnet Mamo
author_sort Asfaw, Dagmawe Menelek
collection PubMed
description Saving is a crucial tool for enhancing the livelihoods of pastoral and agro-pastoral communities, but due to a number of factors, its status and intensity are still in their infancy. Because of this, the current state of saving practices, their causes, and the size of pastoral and agro-pastoral communities are all examined in this study. A multi-stage sampling process was used to determine the 600 typical selected households. In order to assess the data, a double hurdle model was used. From the descriptive analysis result, only 35% of pastoral and agro-pastoral groups were savers. In comparison to their counterparts, households who have access to credit, are financially literate, engage in non-farm activities, cultivate crops in addition to livestock husbandry, use informal financial institutions, are educated, and wealthier are more likely to be savers and eager to save a larger amount of property. Households with more livestock and who live far away from formal financial institutions, on the other hand, are less likely to be savers and save only a small fraction of their income. Male-headed families are more likely to participate in saving decisions, whereas female-headed households must save more than their male counterparts once they have opted to save. Instead of relying on ineffective monetary policy (changing interest rates), any concerned bodies should emphasize mixed farming practices, establish financial institutions nearby to improve saving habits, provide non-farm training, and empower women in order to close the gap between savers and non-savers and mobilize resources to save and invest. Furthermore, raise awareness of financial institutions’ products and services, as well as provide credit.
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spelling pubmed-99343542023-02-17 Status and determinants of saving behavior and intensity in pastoral and agro-pastoral communities of Afar regional state, Ethiopia Asfaw, Dagmawe Menelek Belete, Atinkugn Assefa Nigatu, Abibual Getachew Habtie, Getnet Mamo PLoS One Research Article Saving is a crucial tool for enhancing the livelihoods of pastoral and agro-pastoral communities, but due to a number of factors, its status and intensity are still in their infancy. Because of this, the current state of saving practices, their causes, and the size of pastoral and agro-pastoral communities are all examined in this study. A multi-stage sampling process was used to determine the 600 typical selected households. In order to assess the data, a double hurdle model was used. From the descriptive analysis result, only 35% of pastoral and agro-pastoral groups were savers. In comparison to their counterparts, households who have access to credit, are financially literate, engage in non-farm activities, cultivate crops in addition to livestock husbandry, use informal financial institutions, are educated, and wealthier are more likely to be savers and eager to save a larger amount of property. Households with more livestock and who live far away from formal financial institutions, on the other hand, are less likely to be savers and save only a small fraction of their income. Male-headed families are more likely to participate in saving decisions, whereas female-headed households must save more than their male counterparts once they have opted to save. Instead of relying on ineffective monetary policy (changing interest rates), any concerned bodies should emphasize mixed farming practices, establish financial institutions nearby to improve saving habits, provide non-farm training, and empower women in order to close the gap between savers and non-savers and mobilize resources to save and invest. Furthermore, raise awareness of financial institutions’ products and services, as well as provide credit. Public Library of Science 2023-02-16 /pmc/articles/PMC9934354/ /pubmed/36795676 http://dx.doi.org/10.1371/journal.pone.0281629 Text en © 2023 Asfaw et al https://creativecommons.org/licenses/by/4.0/This is an open access article distributed under the terms of the Creative Commons Attribution License (https://creativecommons.org/licenses/by/4.0/) , which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.
spellingShingle Research Article
Asfaw, Dagmawe Menelek
Belete, Atinkugn Assefa
Nigatu, Abibual Getachew
Habtie, Getnet Mamo
Status and determinants of saving behavior and intensity in pastoral and agro-pastoral communities of Afar regional state, Ethiopia
title Status and determinants of saving behavior and intensity in pastoral and agro-pastoral communities of Afar regional state, Ethiopia
title_full Status and determinants of saving behavior and intensity in pastoral and agro-pastoral communities of Afar regional state, Ethiopia
title_fullStr Status and determinants of saving behavior and intensity in pastoral and agro-pastoral communities of Afar regional state, Ethiopia
title_full_unstemmed Status and determinants of saving behavior and intensity in pastoral and agro-pastoral communities of Afar regional state, Ethiopia
title_short Status and determinants of saving behavior and intensity in pastoral and agro-pastoral communities of Afar regional state, Ethiopia
title_sort status and determinants of saving behavior and intensity in pastoral and agro-pastoral communities of afar regional state, ethiopia
topic Research Article
url https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9934354/
https://www.ncbi.nlm.nih.gov/pubmed/36795676
http://dx.doi.org/10.1371/journal.pone.0281629
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