Evaluation of Rural Credit Markets on Small-Holder Farmers' Production and Income: (A Case Study of Ikwuano L.G.A. Abia State)

ABSTRACT

This study investigated the evaluation of rural credit markets in Ikwuano Local Government Area of Abja State. The study focused on the financial lending institutions (formal and informal) that lend money to farmers, the differences in the lending conditions and amount of loan granted between the identified sources. Also, the impact Of the loan on the beneficiaries level of production and income. Data relevant to the study were collected through the use of both structured questionnaire and personal interview scheduled from farmers loan beneficiaries and the financial markets. Also information was gotten from Abia State Ministry of Agriculture, research project, financial reports, feasibility reports and journals. A total of 120 farmers respondents were interviewed. The data collected were analysed by simple statistical techniques such as percentages and averages. The terability of the stated hypothesis were verified using correlation coefficient and chi-square.

 TABLE OF CONTENTS

TITLE PAGES

ABTRACT

DEDICATION ••• Ii

ACKNOWLEDGEMENT •• iii

CERTIFICATION ••• ••• iv

LIST OF TABLES •.. ... vii

CHAPTER ONE: INTRODUCTION

1.1 Background of Study ... 1.

1.2 Statement of Problems 3

1.3 Objective Of the Study 5

1.4 Hypothesis ... 6

1.5 Significance of the Study 7

1.6 Limitation of the Study 8

CHAPTER TWO: LITERATURE REVIEW

2.1 Concept of Credit ... 9

2.2 Sources of Credit ... 10

2.3 Constraints to improve Traditional

Agriculture .•. 12

2.4 Supply of Credit in Rural Areas 13

2.5 Loans Disbursement ... 15

2.6 Loans Repayment Performance 17

2.7 Causes of Loan Default 19