MANAGEMENT OF AGRICULTURAL LOAN PORTFOLIO IN THE NIGERIAN AGRICULTURAL AND COOPERATIVE BANK LIMITED

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MANAGEMENT OF AGRICULTURAL LOAN PORTFOLIO IN THE NIGERIAN AGRICULTURAL AND COOPERATIVE BANK LIMITED

ABSTRACT

Various governments in Nigeria have recognised the fact that the absence of an agricultural credit Institution in the country is one of the major impediments to agricultural development. The Nigerian Agricultural and co-operative Bank limited (NACB) was established in 1972 to provide the much needed credit to farmers to enable them increase their farm output. Presently, the Bank has seven zonal offices that supervise seventy branch offices nation wide. This study is an attempt to highlight the problems associated with agricultural lending in NACB. The study outlined the procedures and regulations that individual and corporate applicants have to follow and comply with in order to have their loans approved. The study highlighted the following as major problems in agricultural lending. a. Delayed-processing of loan Application. b. High costs of both labour and inputs. L. Rising cost of both labour and inputs which usually makes agricultural projects planning nearly impossible. In order to solve the above problems, the following major recommendations are made in order to speed up , processing of loan applications. a. Branch Managers should be given mandate to approve certain amount of loan volume. b. Tax clearance certificate should be waived for SHS and large scale individual clients. c. Committee meetings in which loan applications are considered should be held more frequently.

TABLE 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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