Effect of institutional credit on crop production among small-scale farmers in Lapai Local Government Area of Niger State, Nigeria.

Abstract

The paper examines the effect of institutional credit in crop production among small-scale farmers in Lapai Local Government Area of Niger State, using Nigerian Agricultural Cooperative and Rural Development Bank (NACRDB) as a case study. A sample of thirty-five farmers from five different villages of Lapai Local Government were administered with the questionnaire. The data collected were analyzed using simple descriptive statistics and simple regression analysis. Results showed that majority of the farmers had no formal education, the result from simple regression analysis revealed that agricultural credit has a positive and statistical significant effect on crop output. It was recommended that the farmers should be enlightened to form cooperative societies, so as to have access to credit from the NACRDB.