Saving and investment behaviour of fishermen in the riverine area of Ondo state
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Date
1985
Authors
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Journal ISSN
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Publisher
Obafemi Awolowo University, Ile Ife, Nigeria
Abstract
The study is aimed at carrying out an in-depth analysis of the financial behaviour of the
fishermen in the riverine area of Ondo include state. The major issues examine/the identification
of fishermen "co-operatives in the area, the functions they perform, determination of the
fishermen's gross income, estimation of their marginal propensity to save together with income
elasticity of saving, and the investment of the fishermen vas also considered.
The data for the study were collected between the months of August and October, 1984. There
were two types of data. The secondary data were collected from the Co-operatives division of
Ministry of Trade, Industry and co-operative at Okitipupa and, Akure Federal Department of
Fisheries, Akure and Federal office of Statistics, Lagos. The primary data on the other hand were
collected from the Ilaje/Ese-Odo Local Government area of Ondo State through structured
questionnaires.
From the study at least 80% of the fishermen co-operative societies are not functioning properly
due to lack of effective supervision, poor management and false expectations. Most of the
fishermen co-operative unions are financially insolvent. The gross income of the fishermen was
found to be low and only a little part (19.504) of the income was saved, mostly in informal
savings organizations. Only 21.58% of the fishermen patronise the banks. Household
consumption expenditure was found to be very high among the fishermen thereby leading to low
investments.
The regression analysis results show that the gross income, the level of education, the number of
years of cooperative experience, the age of the fishermen as well as the distance to nearest bank,
all significantly determine their level of savings The analysis shows further that the savings of
the fishermen, the technology level, the level of education together with their total consumption
will all determine the investment of the fishermen. The marginal propensity to save among the
fishermen was found to be 0.14 while the income elasticity of saving was found to be greater
than unity (1.95).
Description
124p
Keywords
Investment, Gross income, Marginal propensity, Income elasticity, Fishermen