Determinants of institutional credit repayment performance among farmers in Afikpo North LGA of Ebonyi state, Nigeria

Abstract. Utilization and repayment of borrowed agricultural funds has been one of the numerous of agricultural development in the developing world and Nigeria is no exception. As such, this study delved into the determinants of loan repayment performance among farmers in Afikpo North Local Government Area (LGA) of Ebonyi State, Nigeria. The study employed purposive sampling technique in the selection of location and respondents. A sample of 100 small holder agricultural loan beneficiaries from Nigeria Agricultural Cooperative and Rural Development Bank (NACRDB) served as respondents for the study. A set of pretested and structured questionnaire was used to elicit data and information from the respondents. Data were analyzed using discriminant analysis. The discriminant function analysis result showed that 72% of the beneficiaries were operating performing loans while 28% were non-performing loan beneficiaries. On the basis of the results, the study suggested extensive loan periods and adoption of income support measures as panacea for efficient credit delivery and utilization among farmers.