Study on the Agricultural Risk Management Strategies by the Agricultural Finance Corporation of Kenya
Abstract
The study set out to establish the risks facing Agricultural Finance Corporation,
determine the risk management strategies deployed to counter these risks and assess the
effectiveness of these strategies in meeting the overall corporate objectives. This study
set out to establish the relationship between risk management and the performance of the
Agricultural Finance Corporation.
The study involved the analysis of credit performance indicators for the period 2010 to
2012. A trend analysis was established, on the basis of which a descriptive analysis was
conducted to determine the impact of implementing risk management strategies on the
performance of the Agricultural Finance Corporation.
An overall analysis showed that the Corporation is significantly affected by external
factors, including political interference and government policy but that internal factors
are also contributing to the deteriorating performance of its loan book. The analysis
shows that following the adoption of risk management in its lending operations,
Agricultural Finance Corporation is realizing an improvement in the performance of its
loan portfolio.
Publisher
University of Nairobi
Rights
Attribution-NonCommercial-NoDerivs 3.0 United StatesUsage Rights
http://creativecommons.org/licenses/by-nc-nd/3.0/us/Collections
The following license files are associated with this item: