EFFECTS OF CREDIT FACILITIES ON INCOME OF MAIZE FARMERS IN OSUN STATE, NIGERIA

• O.A. Thompson

  Department of Agriculture and Resource Economics, Federal University of Technology, Akure, Ondo State, Nigeria

  Author

• G.M. Oludare

  Department of Agriculture and Resource Economics, Federal University of Technology, Akure, Ondo State, Nigeria

  Author

• T.T. Amos

  Department of Agriculture and Resource Economics, Federal University of Technology, Akure, Ondo State, Nigeria

  Author

The paper examined the effects of Nigeria Bank of Agriculture (BOA) on maize farmers in Osun State Nigeria. Multistage sampling procedure was used to select 60 credit facilities beneficiaries of the bank and 60 non-beneficiaries of the credit facilities of the bank. Descriptive statistics, gross margin and multiple regression model were used to analyze the data collected. The result revealed that the mean age of the beneficiaries was 45.2 years and non-beneficiaries was 56.8 years, the mean farm size of the beneficiaries was 4.7 hectares and non-beneficiaries was 2.9 hectares. The gross margin of the beneficiaries was N322,101.43 and non-beneficiaries was N266,015.81, while the Profitability Ratio (PR) of the beneficiaries was 1.59 and non-beneficiaries was 0.77. The regression result revealed that four variables were positively significant in influencing access to credit, the variables were education level (10%), farmers association (5%), access to credit facilities (5%) and farm size (1%). While the major constraints militating against access to credit from BOA in the study area was delay in release of credit (47.5%). The study recommends that BOA and other credit lending agencies should ensure that maize farmers access the credit facilities requested for as at when due.

1. O.A. Thompson, Department of Agriculture and Resource Economics, Federal University of Technology, Akure, Ondo State, Nigeria

   Department of Agriculture and Resource Economics, Federal University of Technology, Akure, Ondo State, Nigeria

2. G.M. Oludare, Department of Agriculture and Resource Economics, Federal University of Technology, Akure, Ondo State, Nigeria

   Department of Agriculture and Resource Economics, Federal University of Technology, Akure, Ondo State, Nigeria

3. T.T. Amos, Department of Agriculture and Resource Economics, Federal University of Technology, Akure, Ondo State, Nigeria

   Department of Agriculture and Resource Economics, Federal University of Technology, Akure, Ondo State, Nigeria

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