Characteristics of Rural Community Savings Systems and Impacts on Rural Livelihood in Selected Districts of Sierra Leone

Abstract

This study attempted to investigate the characteristics of rural community savings systems and their impacts on rural livelihood in selected districts of Sierra Leone. The researchers adopted three objectives, (1) identify the personal and socio-demographic characteristics of rural dwellers (savings members and non-savings members) that influence participation in rural community savings systems, and (2) identify the factors, operational conditions and modalities of the savings systems, and (3) assess the impact of the rural community savings systems on the livelihood of rural dwellers in selected districts of Sierra Leone. The study adopted a cross-sectional design. The population consists of savings members and non-savings in Bo, Bombali and Kenema Districts. The population size was 897, of which 810 savings with an equivalent of 810 non-savings, giving a sample size of 1,620 rural dwellers. Two sets of pretested questionnaires and focus group guides with a reliability of 0.75 were administered using KoBoCollect v.1.14.0a software; analysed data using simple frequencies, logit regression and propensity score match models. Participation in the savings program positively impacted various rural community welfare indicators. The recommendations include conducting basic training or in-service training on savings and financial management and guiding characteristics of the operations of the savings system.