Malawi s economy is heavily dependent onagriculture, especially tobacco, which comprises a majorityof the country s exports. Tobacco farmers have one harvest ayear, and while their income stream occurs over severalmonths it must last them for the entire year, making itdifficult to smooth consumption throughout the year. Theobjective of this case study is to present the design andimplementation of a commitment savings product for groups oftobacco farmers in Malawi. The product was successful inencouraging savings, increasing input purchases and yieldsfor the next year s harvest, and increasing consumptionafter the harvest. The following sections describe the lackof formal savings options for rural farmers, the behavioralconcept behind commitment savings accounts, the productdesigned to address these problems and subsequent changes tothe original design, results of a field experimentevaluating the product, and lessons learned for othercommitment savings products.
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