A Statistical Study On The Effects Of Agricultural Loan On Farming Activities In Nigeria
A Statistical Study On The Effects Of Agricultural Loan On Farming Activities In NigeriaCHAPTER ONE
INTRODUCTION
Since the discovery of crude oil in Nigeria, farming activities has had its fare share of inconsistencies and relegation. Agriculture is a very important sector of Nigeria’s economy. Its role in economic development cannot be over emphasized; umar 2004 opined that between 1960-1976 alone, agriculture accounted for 40 to 60 percent of the national income and about 50 to 80 percent of the labour force is engaged in agricultural production. Agriculture has some major roles to play in Nigeria’s economic development. These are, to increase the supply of food for domestic consumption and export and to create more jobs.
Despite the crucial roles of agriculture in the country’s economy, agriculture has had its fair share of problems which has led to the decline and poor performance in agricultural sector. The cardinal problem is the lack of adequate funding.
Agricultural activities in Nigeria have undergone a constant decline this is as a result of more financing by government and other corporate organizations like commercial banks. Efforts have been made by previous governments in Nigeria to resuscitate agriculture activities in Nigeria by making provisions for loans so that agriculturists a vast majority of them being average Nigerians can have access to these loans to improve their production base and employ labour. Agricultural financing in Nigeria has proven to be fairly successful when it comes to getting these funds to the actual rural farmers who are in dare need of this assistance. The effect of adequate agricultural loan on agricultural activities cannot be over emphasized. For agricultural loan system to be effective again a lot of things have to be gotten right. Agricultural loan is considered as a catalyst that activates other factors of production and makes under-used capacities functional for increased production (Ijere, 1998). Thus agricultural loan plays an important role in agricultural and rural development as it enables farmers reap economies of scale, venture into new fields of production, employ new technologies and empower them to provide utilities for a widening market.
Statement of general problem
In a developing country like Nigeria, they’ve not been a defined way of properly financing agricultural activities; this is because most of these farmers are rural dwellers. Another problem is the challenges faced by these farmers in accessing these loans from government since most of them are peasant. A Major problem leading us to this research is to know the percentage of success recorded in assistance of farmers especially those ones in the villages with loans. An equally major problem is to know if increased agricultural loan assistance would actually end unemployment and increase productivity.
1.2. Aims and Objectives of the study
The chief objective or aim of this study is to know the level of success recorded in assisting rural farmers to increase productivity.
To know the difficulties encountered by those farmers in assessing these loans
To know which institutions have been really supportive in assisting the farmers to increase productivity.
To know if increased assistance would mean increase in employment and productivity.
To know if there is a relationship between agricultural credit or loan and the level of productivity in Nigeria. We are also interested in knowing the nature of this relationship if any.
To know if there is equally a relationship between agricultural loan and the employment level in Nigeria. The nature of this relationship ( if any ) is also important to us.
1.3. Significance of the study
A major significance of this study is to know the level of success in assisting farmers in the rural areas.
Another significance of the study is to know if there is a relationship between increased governments financial assistance and the level of their productivity. The following are the other significances of this study:
a) How are loans disbursed?
b) What are the causes and effects of default in loan repayment?
c) What methods have the bank developed in recovering their loans?
d) What are the problems faced by farmers in obtaining this loans and what is their attitude towards repayment?
e) Do farmers generally like assessing these loans?
f) To know how successful agricultural financing has been in recent years and reasons.
g) Does adequate agricultural funding increase employment?
h) how does agricultural loans increase farming activities.
1.4. Scope and limitation of the study
This study is basically on the effect of agricultural loan on farming activities in Nigeria a case study of ohaofia local government area of Abia state. Another scope of the study is to know how agricultural loan in Nigeria has a relationship to employment and finally to know the level of satisfaction of the end users of this loans.
Limitation
It is pertinent to mention the limitations of this research work, chief among the limitations is the difficulty in administering the questionnaire in ohaofia local government area, respondents response wasn’t as expected in that they were some information required that weren’t given.
Notwithstanding, in the highlighted limitation above, it is hoped that this research will be useful to the Nigerian government, its citizens, farmers and agricultural organizations that may be interested in this work.
1.5. Definition of terms
Loan: Money that an organization such as a bank lends and somebody or group of people borrows.
Agriculture: The science or practice of farming.
1.6. Research Hypotheses
The research hypotheses are as follows:
HYPOTHESIS 1
H0: There is no significant relationship between agricultural loan system and employment level in Nigeria
H1: There is a significant relationship between agricultural loan system and employment level in Nigeria
Level of significance: 0.05
Decision rule: reject H0 if p-value is less than the level of significance. Accept H0 if otherwise.
We are also interested in knowing the nature of this relationship, if any.
HYPOTHESIS 2
H0: There is no significant relationship between agricultural loan system and agricultural output in Nigeria.
H1: There is significant relationship between agricultural loan system and agricultural output in Nigeria.
Level of significance: 0.05
Decision rule: reject H0 if p-value is less than the level of significance. Accept H0 if otherwise.
We are also interested in knowing the nature of this relationship (if any)
HYPOTHESIS 3
H0: There is no significant relationship between agricultural loan system and farming activities in Nigeria.
H1: There is significant relationship between agricultural loan system and farming activities in Nigeria.
Level of significance: 0.05
Decision rule: reject H0 if p-value is less than the level of significance. Accept H0 if otherwise.
We are also interested in knowing the nature of this relationship (if any)
PAGES 68
PRICE 3000
buy paroxetine says
I am just writing to make you understand what a outstanding experience my wife’s girl obtained using your web site. She noticed so many pieces, which included what it is like to possess an excellent helping nature to let other people with ease learn specific specialized things. You truly surpassed people’s expected results. Thank you for producing these precious, trusted, informative and in addition fun tips about this topic to Lizeth.
MarcosHar says
tadalafil 40: http://tadalafilonline20.com/ buy tadalafil
JasonAllop says
medications without a doctor’s prescription: https://genericwdp.com/ overseas pharmacies shipping to usa
JasonAllop says
india pharmacy mail order india pharmacy drugs
Jasontuppy says
viagra online usa viagra price
viagra without a doctor prescription
Jasontuppy says
viagra over the counter walmart viagra 100mg price
how much is viagra
Jasontuppy says
viagra discount buy generic 100mg viagra online
viagra without a doctor prescription
Jasontuppy says
order viagra online viagra without a doctor prescription usa
viagra online usa
Jasontuppy says
where to buy viagra online viagra without a doctor prescription usa
viagra price
Jasontuppy says
mexican viagra when will viagra be generic
where to buy viagra online
Michaelsax says
http://propeciafavdr.com/ – generic propecia uk
homeopathic remedies for ed
Michaelsax says
http://zithazi.com/ – zithromax for sale online
canadian pharmacy online
Kevinjaima says
how much is viagra https://viagrapills100.com/ 100mg viagra
Kevinjaima says
when will viagra be generic https://viagrapills100.com/ viagra from canada
TerrynuB says
order ed pills ed pills without a doctor prescription
cheap ed pills usa
TerrynuB says
how can i order prescription drugs without a doctor buy ed drugs
ed medicines
PeterGussy says
https://prednisonest.com/# prednisone 20 mg prices
PeterGussy says
http://hydroxychloroquinest.com/# hydroxychloroquine-o-sulfate
PeterGussy says
https://prednisonest.com/# iv prednisone
PeterGussy says
https://zithromaxst.com/# where to get zithromax over the counter
PeterGussy says
https://hydroxychloroquinest.com/# buy plaquenil 200mg
PeterGussy says
http://hydroxychloroquinest.com/# plaquenil tab 200mg cost
RafaelCof says
https://zithromaxproff.com/# zithromax for sale cheap
can i buy zithromax online
RafaelCof says
http://zithromaxproff.com/# order zithromax without prescription
buy zithromax
Billywains says
clindamycin tablets: buy floxin generic
keftab capsules
Michaelcib says
india pharmacies online: india pharmacy without dr prescriptions best online international pharmacies india
Michaelcib says
order prescription drugs from india: best india pharmacy all generic meds from india
RobertArten says
over the counter ed medication: https://edpillsonline24.com/# best ed pills
RobertArten says
best ed pills: https://edpillsonline24.com/# kamagra pills
MichaelRUSSY says
how much does viagra cost: buy viagra online without prescription viagra without prescription
MichaelRUSSY says
100mg viagra: viagra without a doctor prescription viagra without a doctor prescription usa