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SMALL FARMERS CREDIT DELIVERY THROUGHT DEVELOPMENT BANKS

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SMALL FARMERS CREDIT DELIVERY THROUGHT DEVELOPMENT BANKS

CHAPTER ONE

INTRODUCTION

1.1            BACKGROUND

There are variety of source of fund for agriculture which some analysts have classified in a number of ways, formal and informal, institutional and non institutional, public and private, internal and external etc. these classification are based on contain basic features which this paper will not examine in detail. But when we talk of institutional vis - avis non institutional sources of funds obtained form banks, on bank, government sponsored agencies.

          Also, classification of fund provided by sponsored of a project and unallocated funds (reinvested funds) generated by the project emphasis is placed on externally sourced funds form institutional channels with particular emphasis on the banks

          Hence, this paper is narrowed to agricultural credit purveyance by banks in Nigeria which the commercial bank has played significant roles towards influencing this variable overtime.

1.2            STATEMENT OF THE PROBLEM

The major problem of small farmer include the following

Ignorance

Many people do not know of new development in agricultural. For example, most of the small farmer do not know that there is something like fertilizer, even those who know of he existence of fertilizer, do know how to use it effectively, them fore, it contributes to the downfall of the small farmers.

Lack of sufficient survey of the local environment

This had led in many case to wrongful investment which has the adverse effect of discouraging the small farmers

Poor extension service

In the local area, small farmers are not adequately educated by the extension staff. In most cases, the extension staff is insufficient and few present spend greater part of the day in offices rather than visiting and advising the farmers

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