Vol. 3, Issue 1 (2018)
Factors determining credit access of tomato farmers in a selected area of Bangladesh
Author(s): Sandip Mitra, Md. Masudul Haque Prodhan
Abstract: Tomato farming has emerged as a commercial business in Bangladesh that demands a lot of credit support from financial institutions. This study aims to estimate the factors determining credit access of tomato farmers in a selected area of Bangladesh. Probit regression model is employed to estimate the determinants of credit access. About 60 tomato farmers are randomly selected from Mymensingh district. About 66% farmers have not yet got the credit access. Moreover, credit accessibility is influenced by different factors. Probability of credit access increases with years of schooling, own asset and productivity of tomato farmers. Educated farmers are aware about the rules of financial institutions while own asset and high production of tomato farmers assure the credit providers about timely payback. In addition, Probability of credit access reduces with the farmer’s age. Tomato productivity and export of Bangladesh can be increased through timely credit accessibility of tomato farmers.