IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/88306.html
   My bibliography  Save this paper

Matching Credit with Season: An Issue for Non Performing Agricultural Loans in Nigeria

Author

Listed:
  • Ekong, Christopher N.
  • Onye, Kenneth U.

Abstract

This paper empirically investigates the performance of Nigeria’s agricultural credit policies with a view to unearthing the factors responsible for the poor loan performance. The findings reveal that although Nigeria’s agricultural sector is abysmally underfunded with an unproductive federal budget structure that have been detrimental to agricultural productivity, the basic factor responsible for poor loan performance has been the failure to match credit with seasons. From the analysis of loans and disbursement flow to agricultural sector, it was discovered that loan are paid to farmers with utter disregard to the seasons. Evidently, the mismatch of credit disbursement with seasons attenuated growth and productivity of agriculture in Nigeria, resulting in poor loan performance. We recommend the adoption of the seasonality model, an innovative strategy, which is capable of solving the problem of default in agricultural financing and as such aiding the process of enhanced agricultural productivity and national development.

Suggested Citation

  • Ekong, Christopher N. & Onye, Kenneth U., 2013. "Matching Credit with Season: An Issue for Non Performing Agricultural Loans in Nigeria," MPRA Paper 88306, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:88306
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/88306/1/MPRA_paper_88306.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Eze, Christopher C. & Lemchi, J.I. & Ugochukwu, Albert I. & Eze, V.C. & Awulonu, C.A.O. & Okon, A.X., 2010. "Agricultural Financing Policies And Rural Development In Nigeria," 84th Annual Conference, March 29-31, 2010, Edinburgh, Scotland 91677, Agricultural Economics Society.
    2. Ekong, Christopher N. & Onye, Kenneth U., 2012. "Economic Development in Nigeria: The Basic Needs Approach," MPRA Paper 88189, University Library of Munich, Germany.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ekong, Christopher N. & Onye, Kenneth U., 2013. "The Failure of the Monetary Exchange Rate Model for the Naira-Dollar," MPRA Paper 88238, University Library of Munich, Germany.
    2. Adetunji Adeniyi, 2021. "Nigeria’s Bank of Agriculture: An Agenda for Organizational Renewal," Journal of Business Administration Research, Journal of Business Administration Research, Sciedu Press, vol. 10(1), pages 1-41, April.
    3. Anthony Orji & Jonathan Emenike Ogbuabor & Jennifer Nkechi Alisigwe & Onyinye Imelda Anthony-Orji, 2021. "Agricultural Financing, Agricultural Output Growth and Employment Generation in Nigeria," European Journal of Business Science and Technology, Mendel University in Brno, Faculty of Business and Economics, vol. 7(1), pages 74-90.
    4. Anthony Orji & Jonathan E. Ogbuabor & Onyinye I. Anthony-Orji & Jennifer Nkechi Alisigwe, 2020. "Agricultural Financing and Agricultural Output Growth in Developing Economies: Any Causal Linkage in Nigeria?," International Journal of Finance, Insurance and Risk Management, International Journal of Finance, Insurance and Risk Management, vol. 10(2), pages 34-43.
    5. Umoh, Okon J. & Onye, Kenneth U., 2013. "The Growth Implication of Trade Liberalization in West Africa," MPRA Paper 88371, University Library of Munich, Germany.
    6. Ekong, Christopher N. & Onye, Kenneth U., 2016. "A Framework for Sustaining Rural Development Program: Evidence from Micro-Panel Data in Nigeria," MPRA Paper 88358, University Library of Munich, Germany.
    7. Apata Temidayo Gabriel, 2019. "Public spending mechanisms and gross domestic product (GDP) growth in the agricultural sector (1970–2016): Lessons for Nigeria from agricultural policy progressions in China," Bulletin of Geography. Socio-economic Series, Sciendo, vol. 44(44), pages 57-72, June.
    8. Popogbe Oluwaseyi & Dauda Risikat, 2020. "Agriculture Financing and Growth Performance in Nigeria: Pre-2000 and Post-2000 Analyses," Romanian Economic Journal, Department of International Business and Economics from the Academy of Economic Studies Bucharest, vol. 23(75), pages 16-37, March.
    9. T. E. Ogunjobi & F. O. Oyewusi, 2016. "Media Resources Availability and Utilisation for Effective Publication Output by Agricultural Researchers in Southwestern Nigeria," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 15(02), pages 1-20, June.
    10. Onye, Kenneth U. & Iriabije, Alex O., 2016. "Globalization and Nigeria's Economic Performance," MPRA Paper 88292, University Library of Munich, Germany.

    More about this item

    Keywords

    Agricultural loans; Nigeria; Seasonality Model; ACGSF;
    All these keywords.

    JEL classification:

    • E5 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit
    • Q0 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General
    • Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture
    • Q14 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Finance

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:88306. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.