Impact of Zarai Taraqiati Bank LTD (ZTBL) Credit on Agricultural Producitivity in Sindh Pakistan

Abstract

This study also estimated the impact of credit on agricultural productivity. A huge majority 95% of the respondents had knowledge about the agricultural credit scheme of the ZTBL Bank. More than 56.75 of the loanees’ farmers avail credit facilities for the first time from the ZTBL bank. A large majority 63.3 of the farmers were not satisfied with the interest rate charged by the banks. It was found that a large number of farmers mutualized the credit amount. About 66.7% farmers got agricultural credit facility from bank without facing any problem. Result indicates that average cultivated area in case of loanee farmers is higher than non-loanee farmers. It was conclude that the loanee farmers had more cost of production as compare to non loanee farmers. Results of regression analysis indicate that credit had very normal impact on agricultural productivity as limiting factors is the proper utilization of loan mount in agricultural sector.

Keywords: Banks, credit, agricultural productivity.