ABSTRACT

The study is aimed at examine the role of bank in the financing of agricultural production with a view of determining the part played by the Nigeria agricultural and rural development bank NACRDB as the apex agricultural lending institution in the state. The researcher aimed to examine the nature of problems inherent such as illiteracy, loan default, loan diversion, poor repayment, natural deserter etc. the general objectives of the study is to determine the contributions of (NACRDB) towards financing agriculture.

The statistical tools used in carrying out the research work include the testing of the questionnaire. The sources of data used are both primary and secondary data. The primary source of data is the administration of the questionnaire of oral interview while the secondary source of data is in form of collecting data from NACRDB, books, journal, new paper and magazine. The sample sizes were 75 by 50 were selected as the number of questionnaire returned. The researcher made some finding in the course of the research work such as agricultural financing by the bank consist of soft loan by small holders, farmers and medium scale farmers, the problem been encounter by banks in agricultural financing include loan default as most people see the bank as government establishment and as such take the loan for national cake. Etc.

Finally, the researcher came up with some recommendation such as bank management should facilitate the process of obtaining their loan by making sure that it comes at the appropriate time and after raining season for farmers.

CHAPTER ONE

1.0 INTRODUCTION

Banks are financial house with the authority to guide groups and individual who cloud is having monetary transaction to do. The provision of sound financial regulation that makes for the economic well being, is very essential and assistance and the provision of the financial house in building up a safe monetary training reserve is very important. The well directed influence of the vital bank on a larger society is always something to admire every time. The need to have an economic group that is well tasted and approved of with the education of the members of the society in forming a financial viable social ground belong in the part to the intellectual service rendered by the banks.

In agricultural co-operative society, where. Where individual who hold the financial stock could pull there resources together when union of this stock holders could amount to a great gain to the advancement of their individual well being and collective inspiration, the expertise of banks posted to assist this group materially came with a greaten relief. The government has a whole lot of work load to carry out financially so has not much time to supervise or monitor the economic activity. She has assigned a duty to her agencies. These agencies are survey as the god in the wheel of the progress of such co-operatives society and at the same time provide the necessary material for the improvement and standard procedure. Special agro-allied bank has been set under the auspice of the of the apex bank to grant material aid to agro-stock holders. These banks are viz-commercial bank. Nigeria agriculture and cooperative bank limited and the Nigeria agricultural and co-operative and rural development bank. This financial institution has the authority to deal on the multiple problem traumatizing agriculture and formation of agro-union in Nigeria.

The bound of agriculture is becoming so highly mobilized so that it will take a lot of money to produce food and cash crop in much profitable abundance. It is with his mind that the government has arranged with her many agencies to bring some relief to aspiring agro-stock holders.

Bank in any national has a keynote to play in unfolding the financial success of the economy.