Fishing is the main economic activity among the riparian communities along the shorelines of Lake Victoria. The lake is however facing heavy threat of water hyacinth infestation which impacted negatively to the ecological and socio-economic activities in Lake Victoria. The study aimed at estimating the fisherfolksâ€™ Willingness-to-pay (WTP) for improved management of water hyacinth and to examine socio-economic determinants influencing fisherfolksâ€™ WTP decisions for improved management of water hyacinth in Lake Victoria Kenya. The study used Contingent Valuation Method (CVM), cross-sectional survey and multi-stage simple random technique. A total of 268 fisherfolks were sampled with an aid of semi-structure research questionnaire. The Tobit regression model was used to analyze the socio-economic determinants of individualsâ€™ WTP decisions for the improved water hyacinth management in Lake Victoria. The results showed that fisherfolks were on average willing to pay amount of Kshs. 175.11 (US$1.75) with a total contribution of Kshs. 42,500 (US$ 42.5) monthly to improve water hyacinth management in Lake Victoria. The variables age, experience, income, perception of fisherfolks about water hyacinth infestation, fishing groups and gender of fisherfolks had significance influence on the fisherfolks WTP decisions for the improved water hyacinth management in Lake Victoria. The Lake Victoria management authorities should take opportunity to raise funds for improved management of water hyacinth in Lake Victoria through trust fund which is a neutral payment vehicle.
Keywords: Contingent Valuation Method, Elicitation format, Payment vehicle, Tobit model, WTP