DYNAMICS OF RURAL CREDIT SCHEMES - CASE OF FIJI

Abstract

Rural Credit Schemes serve economically less fortunate communities to access finance. Modes of operations and objectives of RCS may vary to suit the client. The RCS understudy assisted sugar cane farmers community in Fiji to commence extra-income generating activities due to threatening nature of declining level of sugar cane production and detachment of community members from the industry.Case study administered with qualitative and descriptive approach for a sample 32 farmers from the total sugar cane farming population who received support from RCS. The findings show positive outcomes from RCS backed by the safety-targeted selection criteria used by the administrators of the scheme. Lack of considerations on risk assessment and management were identified as challenges.Absence of support to move forward on a progressive path was evident. Institutionalization of RCS with di˙erent modes of client-based operations such as mobile banking, group credit schemes, and market intelligence service to assist di˙erent types of income generating activities are noted as productive arrangements that can be incorporated together with RCS.