ABSTRACT

The study was conducted on the financing of agricultural cooperative societies among rural farmers in Obingwa Local Government Area of Abia state. The specific objectives were to examine the socio-economic characteristics of the respondents, compare the income of cooperative farmers and private farmers, to identify the various means of financing of cooperative societies in the study area, exam factor militating against financing of cooperative societies in the study area and identify if there is a significant difference between the income of cooperative farmers and private farmers. Data for the study was collected through the use of questionnaires and oral interview schedules. Data collected were anayzed using descriptive statistical tools such as frequencies and means and the OLS multiple regression. The mean age of cooperative farmers was 45.35 years while that of non-cooperative farmers was 50years the mean household size was 3.9 and 2.5 respectively, direct member investment debit capital leasing of properties, cooperatives bank and commercial banks was found to be the various ways of financing agricultural cooperatives. Factors such as small membership size, low income of members. Low government recognition level of education of members and number of years of existence of the cooperative was found to militate against financing of agricultural cooperatives. The income of member was found to be a significant variable affecting the level of financial of agricultural cooperative. The following recommendations were proffered in line with the findings of the study; awareness about the presence of agricultural cooperative should be increased, cooperative and commercial bank should be more involved in the financing of cooperative and efforts should be made to educate and sensitize members.