Authors
Asheri M. Mwidege
Department of Business Management, Mbeya University of Science and Technology, Tanzania
Zacharia S. Katambara
Department of Civil Engineering, Mbeya University of Science and Technology, Tanzania
Abstract
This study examines the role of financial institutions in fostering entrepreneurship and promoting economic development in Lagos State, Nigeria. The objectives are to assess the accessibility and adequacy of financial services provided by banks and microfinance institutions for the overall impact of financial intermediation on small and medium-sized enterprise (SME) performance and sustainability. The study is geographically confined to Lagos State, Nigeria's commercial hub and focuses thematically on financial access, institutional support, and the quality of intermediation. A quantitative research design was employed, utilizing structured questionnaires administered to 300 SME operators across five major sectors: manufacturing, agriculture, construction, trade, and services. Data were analyzed using descriptive statistics and inferential techniques, including linear and logistic regression, to establish relationships among access to finance, loan conditions, non-financial support, and entrepreneurial outcomes. The findings reveal that financial institutions significantly influence entrepreneurship and economic performance through improved accessibility, affordability and quality of financial services. Access to finance showed a strong positive effect on SME growth, while affordable loan conditions and advisory services enhanced business sustainability. However, challenges such as stringent collateral requirements, high interest rates, and bureaucratic loan procedures remain major impediments to financial inclusion and SME expansion. The study recommends simplifying loan processes, developing flexible credit schemes, and integrating financial literacy and capacity-building programs for entrepreneurs.
Keywords
Adoption Disadoption Systems of Rice Intensification Economic Analysis Mkindo Irrigation Scheme
How to Cite This Article
APA Citation
Mwidege, A. M., & Katambara, Z. S. (2026). Adoption Dynamics of the System of Rice Intensification by smallholder farmers in Tanzania: A Case of Mkindo Irrigation Scheme. International Journal of Economics and Management Intellectuals, 2(2), 22–36.
Conclusion
Based on findings that high grain yield (58.93%), increased return to labor (51.79%) and reduced seeds requirement, and fewer water requirements (35.71%), it is therefore concluded that high grain yield and increased labour requirements are the key factors that influence rice farmers to adopt SRI practice. However, weed control (76.79%), handling younger seedlings (58.93%), water scheduling control (50%), and rats (44.64%) were reported as challenges that face SRI adopters. Thus, it is concluded that weed control, handling younger seedlings, and water scheduling control are challenges that inhibit SRI adopters from dis-adopt the technology in rice production in a long term. Moreover, based on observations that lack of training, awareness, and skills on SRI practice on rice production hinders the adoption of SRI practice by non-adopters. It is therefore concluded that lack of training, awareness and skills acquisition on SRI practice are barriers to entry in using SRI practice at Mkindo rice irrigation scheme. Furthermore, SRI practices in masika, accessible extension services had statistically significant positive effect on farmers' income contrary to vuli practices and farmer gate prices at p<0.01 level. On the other hand, the economic analysis showed low costs, but higher net income and benefit-cost ratios for smallholder farmers practicing SRI than the conventional method. It is therefore concluded that it is more profitable to practice SRI than the conventional method during masika than in vuli while accessing extension services.
Based on these conclusions, it is therefore recommended that high grain yield and increased return to labor should be improved to attract more SRI adopters. Also, it is recommended that there should be an alternative to control weeds (biological/chemical control), handling younger seedlings, and water scheduling control to reduce costs. Moreover, it is recommended that rice farmers should be provided with extension services to maximize profit while abolishing farm gate prices.
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