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THE ROLE OF MICROFINANCE BANK CREDIT ON AGRICULTURAL DEVELOPMENT IN NIGERIA (1980-2010)

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ABSTRACT

This research work tries to investigate the role of microfinance bank on agricultural development in Nigeria using Nigeria as a case study. Using ordinary least square method, data collected were secondary data and the durbin watson t statistics were used in the regression analysis. The study shows that Microfinance bank loans have a positive impact on agricultural development in Nigeria. Based on these findings some recommendations were made, interest rate should be reduce to encourage farmers in borrowing and The federal government should give a directive through microfinance bank that will encourage the farmers by giving them incentives. This will automatically increase the efficiency of farmers and thereby attract more youths to the agricultural sector.

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