Abstract:
The purpose of this paper is to evaluate the financial products that are available to the pastoralists and the models being used by the financial service providers to extend the financial products to the pastoralists. The motivation of this critical review is based on the fact that pastoralists are found to be unattractive for the financial institutions to extend financial products to them. The author’s own critical evaluation on financial products which can be extended to the pastoralists and current financial models used to extend such financial products to the pastoralists in Kenya are captured in this research. The research is based on the author’s own critical thinking and vast previous interactions with the financial service providers, various stakeholders and the beneficiaries (pastoralists). The paper starts with the definition of financial products which the pastoralists can enjoy. Types of financial services which pastoralists can benefit from are explained in this document from both the supply and demand side of the value chain (livestock and livestock products along the value chain). Models used in providing such financial products are postulated. The models can be used as theories by other researchers in the financial products provision field. In addition, the actual financial products provided and gaps are contained in this paper, and how the gaps can be filled up.Challenges/gaps and some enabling policies are captured in this paper.
