AN ASSESSMENT OF RURAL AGRICULTURAL FINANCING (A CASE STUDY OF GYELLESU COMMUNITY BANK ZARIA

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AN ASSESSMENT OF RURAL AGRICULTURAL FINANCING (A CASE STUDY OF GYELLESU COMMUNITY BANK ZARIA

The agricultural sector accounted for over 60% of the nation’s gross domestic project (GDP) at independence in 1960. With the advent of oil boom in the seventies, Nigeria witnessed increase revenue from the sales of crude oil. This led to the neglect of the agricultural sector with oil playing a catalyst and other fundamental factors such as poor planning and implementation of agricultural programmes, non-accessibility to agricultural credit among others greatly contributed. Programmes by various government such as national accelerated food production programme, operation feed the nation, the Green revolution among others have had minimal impact due to the lack of proper planning and implementation. Among problems confronting the rural farmer today is the problem of non-accessibility of agricultural credit. This has forced the rural farmer to rely move on informal source of credit as against the institutional source. Finding in the research revealed that the banks function of mobilizing funds to finance agriculture can be sustained with beneficial effect to the farmer, if the method of disbursement is fine turned to take care of the issue of collateral. This is a major hindrance for effective agricultural finance for the rural farmer as he was barely anything to offer. The study revealed among other things large patronage by the rural farmer due to the relatives easy of obtaining credit and the high exposure of the bank. Despite this success, the research identified some problems facing the bank such as the time taken to process a loan, in adequacy of loan-able funds among others. Based on the identified problems, recommendations were made for the effective performance of the bank. Such recommendations among others include, encouraging the principle of group lending, increasing the amount of loan and timely approval of loans to be disbursed.

ABLE OF CONTENT

Title page- – – – – – – – – i

Approval page – – – – – – – -ii

Dedication – – – – – – – – -iii

Acknowledgement – – – – – – – -iv

Abstract – – – – – – – – – -v

Table of content – – – – – – – -vi

CHAPTER ONE

INTRODUCTION – – – – – – – -1

1.0 Background of the study – – – – -1

1.1 Statement of the problem – – – – -5

1.2 Purpose of the study – – – – – -6

1.3 Significance of the study – – – – -8

1.4 Research questions – – – – – -9

1.5 Scope of the study – – – – – – -10

CHAPTER TWO

LITERATURE REVIEW – – – – – – -11

CHAPTER THREE

Research methodology – – – – – – -39

Design of study – – – – – – – -40

CHAPTER FOUR

Presentation, analysis and interpretation of data – -48

CHAPTER FIVE

Summary of findings – – – – – – -60

Conclusion – – – – – – – – -61

Recommendations – – – – – – – -62

Suggestions for further research – – – – -64

References – – – – – – – – -65

Appendix I – – – – — – – – -68

Questionnaire. – – – – – – – -69

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