Smallholder farmers face various challenges in production one of them being
inaccessibility to credit. This study specifically sought to identify household
socio-economic characteristics and institutional requirements influencing
access to credit among smallholder farmers in Nyandarua District. The study
used a Logit model. Both quantitative and qualitative data were acquired from
primary and secondary sources. Primary data was collected using
questionnaires through a survey design. A sample of 264 smallholder farmers
was selected using stratified, multi-stage random sampling techniques. Data
was analyzed using descriptive statistics and regression analysis using
Statistical Package for Social Sciences (SPSS). The study established that
socio-economic constraints such as age, gender, household size, farm income,
collateral and awareness are critical determinants of access to credit. The study
concludes that household socio-economic characteristics do influence access to
credit. Key recommendations made include the need by government to deal
with bureaucracies involved in land registration to benefit majority of
smallholder farmers who remain insecure in the land they use without proof of
ownership and also to make easier the registration of lease certificates for those
who do not own land and use land on leasehold tenure system. Financial
institutions should also put in place less stringent credit requirements and
reduce credit costs especially interest rates to make credit more affordable.