The Impact of Credit Policy Environment on Agricultural Output in Nigeria
The growth of the agriculture sector is a key factor in the survival of the Nigerian economy. However, the production and productivity of this sector have been lower than expected recently. The country is now a net importer of some crops that were previously produced in large quantities. Hence, with...
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| Format: | Article |
| Language: | English |
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Atatürk University
2025-01-01
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| Series: | Research in Agricultural Sciences |
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| Online Access: | https://dergipark.org.tr/tr/download/article-file/3700988 |
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| author | Ini-mfon Vincent Patrick Veronica Sebastin Nkanta Edet Jouhua Udoh Sunday Brownson Akpan |
| author_facet | Ini-mfon Vincent Patrick Veronica Sebastin Nkanta Edet Jouhua Udoh Sunday Brownson Akpan |
| author_sort | Ini-mfon Vincent Patrick |
| collection | DOAJ |
| description | The growth of the agriculture sector is a key factor in the survival of the Nigerian economy. However, the production and productivity of this sector have been lower than expected recently. The country is now a net importer of some crops that were previously produced in large quantities. Hence, with the aim to identify factors that influence the sector, the study specifically establishes the relationship between the agricultural sector growth proxy by the agricultural production index and the credit policy variables in Nigeria. The research utilized the flexible autoregressive distributed lag (ARDL) approach to determine the presence of co-integration. The estimated long-run and short-run models demonstrated the best, most efficient, and unbiasedness qualities. The findings revealed that loans from commercial banks and the Agricultural Credit Guarantee Scheme Fund (ACGSF) have a significant positive impact on the agricultural sector's growth in the long run. Conversely, the long-run agricultural growth exhibited a negative relationship with the domestic credit to the private sector and lending interest rate. This finding underscores the importance of boosting commercial bank loans to the agricultural sector and increasing credit volume from the Agricultural Credit Guarantee Scheme Fund. Furthermore, it highlights the necessity of introducing more financial incentives to attract domestic private investments and lowering the lending interest rate on agricultural credit within the country. |
| format | Article |
| id | doaj-art-be3b78eee0e74275bfe9723c14524539 |
| institution | Kabale University |
| issn | 2979-9686 |
| language | English |
| publishDate | 2025-01-01 |
| publisher | Atatürk University |
| record_format | Article |
| series | Research in Agricultural Sciences |
| spelling | doaj-art-be3b78eee0e74275bfe9723c145245392025-01-28T09:53:56ZengAtatürk UniversityResearch in Agricultural Sciences2979-96862025-01-01561394910.17097/agricultureatauni.143022055The Impact of Credit Policy Environment on Agricultural Output in NigeriaIni-mfon Vincent Patrick0https://orcid.org/0009-0007-9002-3060Veronica Sebastin Nkanta1https://orcid.org/0000-0001-7035-7978Edet Jouhua Udoh2https://orcid.org/0000-0002-4550-4320Sunday Brownson Akpan3https://orcid.org/0000-0002-0458-028XAkwan Ibom State UniversityUniversity of UyoUniverssity of UyoAkwa Ibom State UniversityThe growth of the agriculture sector is a key factor in the survival of the Nigerian economy. However, the production and productivity of this sector have been lower than expected recently. The country is now a net importer of some crops that were previously produced in large quantities. Hence, with the aim to identify factors that influence the sector, the study specifically establishes the relationship between the agricultural sector growth proxy by the agricultural production index and the credit policy variables in Nigeria. The research utilized the flexible autoregressive distributed lag (ARDL) approach to determine the presence of co-integration. The estimated long-run and short-run models demonstrated the best, most efficient, and unbiasedness qualities. The findings revealed that loans from commercial banks and the Agricultural Credit Guarantee Scheme Fund (ACGSF) have a significant positive impact on the agricultural sector's growth in the long run. Conversely, the long-run agricultural growth exhibited a negative relationship with the domestic credit to the private sector and lending interest rate. This finding underscores the importance of boosting commercial bank loans to the agricultural sector and increasing credit volume from the Agricultural Credit Guarantee Scheme Fund. Furthermore, it highlights the necessity of introducing more financial incentives to attract domestic private investments and lowering the lending interest rate on agricultural credit within the country.https://dergipark.org.tr/tr/download/article-file/3700988kreditarımüretimpolitikamakroekonominijeryacreditagricultureproductionpolicymacroeconomicsnigeria |
| spellingShingle | Ini-mfon Vincent Patrick Veronica Sebastin Nkanta Edet Jouhua Udoh Sunday Brownson Akpan The Impact of Credit Policy Environment on Agricultural Output in Nigeria Research in Agricultural Sciences kredi tarım üretim politika makroekonomi nijerya credit agriculture production policy macroeconomics nigeria |
| title | The Impact of Credit Policy Environment on Agricultural Output in Nigeria |
| title_full | The Impact of Credit Policy Environment on Agricultural Output in Nigeria |
| title_fullStr | The Impact of Credit Policy Environment on Agricultural Output in Nigeria |
| title_full_unstemmed | The Impact of Credit Policy Environment on Agricultural Output in Nigeria |
| title_short | The Impact of Credit Policy Environment on Agricultural Output in Nigeria |
| title_sort | impact of credit policy environment on agricultural output in nigeria |
| topic | kredi tarım üretim politika makroekonomi nijerya credit agriculture production policy macroeconomics nigeria |
| url | https://dergipark.org.tr/tr/download/article-file/3700988 |
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