microcredit
Posted by MohiniBhavsar on Aug 24, 2010
Running Out of Credit : The Limitations of Mobile Telephony in a Tanzanian Agricultural Marketing System data sheet 2025 Views
Abstract:
Poor farmers often lack credit to purchase agricultural inputs, and rely on their buyers to provide it. This paper considers the effects of mobile phones on traders of perishable foodstuffs operating between Tanzania’s Southern Highlands and Dar es Salaam’s wholesale market, with a particular focus on the importance of credit in the relationship between potato and tomato farmers and their wholesale buyers.
It argues that the ability to communicate using these new information and communication technologies (ICTs) does not significantly alter the trust relationship between the two groups. It also suggests that farmers, in effect, often have to accept the price they are told their crops are sold for – irrespective of the method of communication used to convey this message – because their buyers are also their creditors. In this situation, many farmers are unable to exploit new mobile phone-based services to seek information on market prices, and potential buyers in other markets. Doing so runs the risk of breaking a long-term relationship with a buyer who is willing to supply credit because of their established business interaction.
It is suggested that, under a more open system than currently exists in Tanzania, mobile-payment (‘m-payment’) applications should target these creditor-buyers as key agents in connecting farmers to the credit they so often require.
Posted by KatrinVerclas on Oct 30, 2007
Imagine an industry conference of IP communciations where coders are mashing up an SMS application for a small NGO researching best practices for poverty alleviation. We were curious about what that might look like, so MobileActive.org is at the annual VON conference, the industry gathering of IP communications firms. At its unconference-style Innovation Track, there will be gathering of coders producing an SMS platform for an NGO focused on evaluating poverty alleviation efforts in developing countries. The mashup sponsored by the Thomas Howe Company, a Voice over IP (VOIP) communications firm that focuses on mashups for the enterprise.
We published a recent call for submission of use cases when we first learned about this effort. While typically these kind of 'volunteer coding' projects lack in long-term sustainability and enterprise-level scaling, we are interested in seeing what will become of this mobile text-to-speech platform that will be used in evaluating microfinance loan offerings in the Phillippines and South Africa.
