MOBILIZATION OF DOMESTIC FINANCIAL RESOURCES FOR AGRICULTURAL PRODUCTIVITY IN NIGERIA

2012 ◽  
Vol 02 (12) ◽  
pp. 01-07
Author(s):  
Awe A.A
Keyword(s):  
Federal Government ◽  
Agricultural Sector ◽  
Time Series Data ◽  
Forecast Error ◽  
Agricultural Productivity ◽  
State Level ◽  
Financial Resources ◽  
Series Data ◽  
Agricultural Credit ◽  
The Government

The paper examines the mobilization of domestic financial resources for agricultural productivity in Nigeria with a view to identify the contributions of the various sources of finance to agricultural productivity in Nigeria. To achieve this objective, the paper employed Vector Auto Regressive Model (VAR) to analyze time series data from (1980 – 2009). The paper identified the various instruments and strategies used by the government for mobilizing resources for the agricultural sector in Nigeria to include subsidy and agricultural credit policies that were financed through Nigerian Agricultural Credit Bank (NACB), credit facilities from Nigerian Bank for Commerce and Industries at the state level, credit through Commercial and Merchant Banks and provision of agricultural credit to the defunct Commodity Board by the Central Bank of Nigeria. The OLS (VAR) result revealed positive relationships between the variables and the variance decomposition measured the proportion of forecast error. The paper therefore recommend that the Federal government recurrent expenditure on agriculture should be reviewed upward for enhanced agricultural productivity and that both the Federal government and the Commercial Banks should mobilize more financial resources toward the agricultural sector to boost agricultural productivity which would guaranteed maximum agricultural productivity in Nigeria.

scholarly journals An Econometric Analysis of Food Security and Agricultural Credit Facilities in Nigeria

2018 ◽  
Vol 12 (1) ◽  
pp. 227-239 ◽  
Author(s):  
Romanus Osabohien ◽  
Adesola Afolabi ◽  
Abigail Godwin
Keyword(s):  
Food Security ◽  
Interest Rates ◽  
Commercial Banks ◽  
Agricultural Sector ◽  
Time Series Data ◽  
Labour Force ◽  
Series Data ◽  
Agricultural Credit ◽  
Development Indicators ◽  
The Government

Background:It is a known fact that the efficiency of credit facility positively contributes to production base of a sector, especially the Nigerian agricultural sector which is recognised as the heartbeat of the economy by employing over 70% of the country’s labour force; this forms the motivation for this study.Objective:This study examined the potential of agricultural credit facilities in terms of commercial bank credit to agriculture and agricultural credit guarantee scheme fund (ACGSF) and their corresponding interest rates to farmers towards increasing agricultural production as the pathway to food security in Nigeria.Method:The study employed the Autoregressive Distribution Lag (ARDL) econometric approach on the time series data sourced from the Central Bank of Nigeria (CBN) statistical bulletin, Food and Agriculture Organisation (FAO) and the World Development Indicators (WDI) for the period 1990-2016.Result:The result from ARDL showed that commercial banks credits and ACGSF increased food security by 8.12% and 0.002% respectively, while population reduces food security by 0.001%.Conclusion:The study concluded that population should be controlled through family planning and adequate financing of the ACFSF by the government and monitor commercial banks leading interest rates on credit facilities.

Impact of Health and Agriculture Financing on Economic Growth in Nigeria

2021 ◽  
Vol 7 (18) ◽  
pp. 37-58
Author(s):  
Rasaki Olufemi KAREEM ◽  
◽  
Olawale LATEEF ◽  
Muideen Adejare ISIAKA ◽  
Kamilu RAHEEM ◽  
...  
Keyword(s):  
Economic Growth ◽  
Federal Government ◽  
Causal Relationship ◽  
Agricultural Sector ◽  
Time Series Data ◽  
Capital Expenditure ◽  
Government Expenditure ◽  
Health Sector ◽  
Series Data ◽  
The Impact

The study focused on the impact of health and agriculture financing on economic growth in Nigeria from 1981 to 2019. The study utilized the time series data which was extracted from Central Bank of Nigeria annual statistical bulletin. Unit Root test was performed with the use of Augmented Dickey-Fuller test in order to ascertain the stationarity of all the variables and they were all found to be stationary at order 1 in the two specified models (composite and disaggregated). Error Correction Model (ECM) was used to analyze the data in order to determine the speed of adjustment from the short run to the long run equilibrium state. Casualty test was used to confirm causal relationship among the variables of interests. The study revealed that Federal Government expenditure in Health sector has a significant effect on economic growth in Nigeria. Federal Government expenditure in Agricultural sector equally had a positive effect on economic growth but surprisingly not significant. Considering the disaggregated form, Federal Government capital expenditure in both Health and Agricultural sectors have positive and statistically significant effect on economic growth while Federal Government recurrent expenditure on health has a positive and statistically insignificant effect in economic. It was also revealed that there is causal relationship among the variables. Based on the findings, the study concluded that Federal Government Expenditure in Health Sectors and Agriculture Sectors have effect on economic growth in Nigeria.

Estimation of Elasticities of Substitution for CES and VES Production Functions using Firm-level Data for Food-processing Industries in Pakistan

1988 ◽  
Vol 27 (1) ◽  
pp. 59-71 ◽  
Author(s):  
George E. Barrese ◽  
Sohail J. Malik
Keyword(s):  
Food Processing ◽  
Agricultural Development ◽  
Agricultural Sector ◽  
Time Series Data ◽  
Low Cost ◽  
Series Data ◽  
Firm Level ◽  
Acre Yield ◽  
Level Data ◽  
The Government

This study, based on the time-series data covering the period from 1956 to 1986, estimates production function in the agricultural sector of Pakistan. The strategy for agricultural development in the country has been based on greater utilization of "high pay-off' low-cost technology. The government advanced loans through financial institutions to make it possible for the farmers to acquire this technology. Despite the infusion of seed-fertilizer technology, per acre yield of major crops like wheat, rice, cereal and sugar-cane in Pakistan is lower than in most LDCs in the region. Therefore, it is concluded that the use of present technology has reached a plateau and it is time to look for additional inputs for improvement in productivity.

scholarly journals Empirical Analysis of Government Agricultural Spending and Agricultural Output in Nigeria

2021 ◽  
pp. 7-23
Author(s):  
Bridget Ngodoo Mile ◽  
Victor Ushahemba Ijirshar ◽  
Simeon T. Asom ◽  
Joseph Tarza Sokpo ◽  
Joseph Fefa
Keyword(s):  
Agricultural Sector ◽  
Time Series Data ◽  
Government Expenditure ◽  
Analytical Techniques ◽  
Wald Test ◽  
Series Data ◽  
Easy Access ◽  
Agricultural Output ◽  
Integration Test ◽  
The Government

This study examined the relationship between government agricultural spending and agricultural output in Nigeria using annual time series data from 1981 to 2019. This study used descriptive and analytical techniques such as descriptive statistics, Augmented Dickey-Fuller test, VEC Granger Causality/Block Exogeneity Wald test, Johansen co-integration test, vector error correction test, impulse response, and variance decomposition. The study found that all variables were not stationary at level but became stationary at first difference. The study also revealed that there is a positive effect of government agricultural spending on agricultural output in Nigeria, though, significant in the long-run only. The study also showed that there is a bidirectional relationship between government agricultural spending and agricultural output in Nigeria at 10% level of significance and that agricultural output would respond positively to shocks in government agricultural spending in Nigeria during the forecast period. Therefore, the study recommends that government expenditure on agriculture should be improved upon the funds allocated to the sector and should be made available to real farmers through the provision of fertilizers, improved seedlings and grant aiding to farmers through farmers cooperatives while farmers in Nigeria should form farmers’ cooperatives to be able to easily access credit facilities from banks as well as enhancing their easy access to farm inputs provided by the government. More so, the Nigerian government should also increase the budgetary allocation to the agricultural sector to boost food production, alleviate poverty as well as meet up with the international standard.

scholarly journals Effect of Agricultural Financing on the Performance of Agricultural Sector in Nigeria

2021 ◽  
Vol 2 (2) ◽  
pp. 1-13
Author(s):  
Obioma I. F. ◽  
Ihemeje J. C. ◽  
Ogbonna C. I. ◽  
Amadi C. O. ◽  
Hanson U. E
Keyword(s):  
Commercial Banks ◽  
Agricultural Sector ◽  
Time Series Data ◽  
Government Expenditure ◽  
Series Data ◽  
Agricultural Credit ◽  
Vector Autoregressive ◽  
Credit Guarantee ◽  
Explanatory Variables ◽  
Long Run

The study examined the effects of agricultural financing on the performance of agricultural sector in Nigeria using annual time series data. The data for the study was sourced from the Central Bank of Nigeria (CBN) Statistical Bulletin. Contribution of agriculture to GDP was used as proxy for the performance of agricultural sector, commercial banks loan to agriculture, rain fall, government expenditure to agriculture and interest rate were used as proxy for explanatory variables. Following unity in the order of integration, Johansen cointegration approach was used to check for the long run relationship among the variables. Vector autoregressive estimate the vector correction mechanism was used to examine the speed of adjustment of the variables from the short run dynamics to the long run equilibrium. The study found that there is long run relationship among the variables. Specifically; there is significant and long run effect of Agricultural Credit Guarantee Scheme on Contributions of agriculture to GDP. Commercial banks loans to agriculture showed positive and significant effect on Contributions of agriculture to GDP within the reference period. The coefficient of multiple determinations explained the variation in the dependent variable jointly explained by the independent variables. The study recommend that there should be increase in the amount which the agricultural credit guarantee scheme inject into the sector on annual basis and  proper supervisory measures should be constituted in order to ensure efficient application and use of the money.

scholarly journals Evaluating the Kisan Credit Card Scheme: Some Results for Bihar and India

2019 ◽  
Vol 19 (1) ◽  
pp. 68-107
Author(s):  
Areendam Chanda
Keyword(s):  
Credit Card ◽  
Agricultural Sector ◽  
Agricultural Productivity ◽  
District Level ◽  
Short Term ◽  
Agricultural Credit ◽  
Agricultural Growth ◽  
Growth Accelerations ◽  
The Government ◽  
Using Data

The Kisan Credit Card (KCC) scheme was introduced in India in 1998–1999 and has since become a flagship programme providing access to short-term credit in the agricultural sector. According to the Government of India, over a 100 million cards had been issued cumulatively by March 2011. Using data from 2005–2006 to 2009–2010, the article critically examines the determinants of KCC lending across states in India and districts in Bihar. We also examine the effects of the scheme on agricultural growth and yields. Our results suggest that states with initially better access to agricultural credit show subsequently greater amounts of KCC lending. However, Bihar and other BIMARU states also show faster adoption rates that cannot be explained by their recent growth accelerations. Within Bihar, we see that districts with initially greater lending in KCC continue to pull further away from other districts, while in terms of account holders there is evidence of convergence. Finally, we do not see any evidence of KCC lending on state- or district-level agricultural productivity. JEL: Q14, Q0, O41, O47

scholarly journals Modeling State Agriculture: An Application and Some Implications

1990 ◽  
Vol 19 (2) ◽  
pp. 132-144
Author(s):  
Olugbenga Onafowora ◽  
Gerard D'Souza ◽  
Dale Colyer
Keyword(s):  
Decision Making ◽  
Time Series ◽  
Least Squares ◽  
Agricultural Sector ◽  
Time Series Data ◽  
Econometric Model ◽  
State Level ◽  
Policy Formulation ◽  
Series Data ◽  
Three Stage Least Squares

A disaggregated econometric model of the agricultural sector at the state level is constructed. Using time series data on West Virginia agriculture and three-stage least squares in estimation, the model is employed to examine how various components of the state's agricultural sector adjust to changes in certain price and nonprice variables. Results reveal characteristics of the state's agricultural economy that are both unique and useful—characteristics that are usually masked in aggregate models but that have profound implications for modeling producer decision making and policy formulation.

scholarly journals Understanding Agricultural Productivity Growth in Sub-Saharan Africa: An Analysis of the Nigerian Economy

2020 ◽  
pp. 147-158
Author(s):  
Miftahu Idris
Keyword(s):  
Economic Growth ◽  
Agricultural Sector ◽  
Time Series Data ◽  
Labour Force ◽  
Agricultural Productivity ◽  
Sustainable Growth ◽  
Sub Saharan Africa ◽  
Series Data ◽  
Agricultural Export ◽  
The Impact

In recent times, agricultural sector has returned to the forefront of development issues in Nigeria given its contribution to employment creation, sustainable food supply and provision of raw materials to other sectors of the economy. In lieu of that, this study examines the impact of agriculture on the economic growth in Nigeria using annual time series data covering the sample period of 1981 to 2018. To analyse the data collected, Autoregression Distributed Lag (ARDL) model through the bounds testing framework is employed to measure the presence of cointegrating relations between real GDP, agricultural productivity, labour force, and agricultural export. Results show the presence of both short-run and long-run relationship among the variables, and that agriculture has a positive and significant impact on economic growth in Nigeria. These findings inform the Nigerian government on the need to expedite labour force (human capital) and agricultural export (non-oil) development with the view to achieving sustainable growth and development. In addition, developing skills and competencies of labour force through capacity building in the agricultural sector will encourage research and development thereby increase the export size, hence essential for long-term growth.

scholarly journals Transforming the Nigerian Agricultural Sector into an Agribusiness Model – the Role of Government, Business, and Society

2017 ◽  
Vol 5 (1) ◽  
pp. 71-115 ◽  
Author(s):  
Kenneth O. Ikenwa ◽  
Abdul-Hammed A. Sulaimon ◽  
Owolabi L. Kuye
Keyword(s):  
Global Economy ◽  
Agricultural Sector ◽  
Oil And Gas ◽  
Time Series Data ◽  
Action Plan ◽  
Series Data ◽  
Business And Society ◽  
Agricultural Revolution ◽  
Major Player ◽  
The Government

AbstractThis paper proposes that the transformation of the agric sector into an agribusiness model will contribute to repositioning Nigerian economy from its backwater position in the world’s economy. This proposition was investigated with the help of a review of literature and analysis of secondary time series data from the period of 2005–2014, which represented the contributions of the agricultural, manufacturing, oil and gas, and service sectors in Nigeria. One hypothesis was formulated and investigated with thet-test, correlation, and regression tests. The test results were positive and statistically significant at.05 alpha level, and they showed that agriculture has the potential to consistently have a significant effect in contributing to the growth of the Nigerian GDP both in the short and long run. These results justify the clarion call within the government and business sectors to diversify the economy and return to agriculture as the country’s bedrock for economic stability, especially as global economy becomes more volatile, uncertain, turbulent, and ambiguous. To this end, six strategies and twelve policy recommendations are suggested towards the implementation of a Structural Adjustment for Agribusiness Promotion (SAFAP) in Nigeria, and this is to be implemented as an action plan for pursuing a nationwide agricultural revolution. The paper concludes that, in view of its Vision 20:2020 to be among the top twenty economies in the world, Nigeria can become positioned to be a major player in global economy by diversifying from an oil-dependent economy into agribusiness and agric trade.

scholarly journals Production Function, Institutional Credit and Agricultural Development in Pakistan

1989 ◽  
Vol 28 (1) ◽  
pp. 43-56 ◽  
Author(s):  
Habib A. Zuberi
Keyword(s):  
Production Function ◽  
Financial Institutions ◽  
Agricultural Development ◽  
Agricultural Sector ◽  
Time Series Data ◽  
Low Cost ◽  
Series Data ◽  
Acre Yield ◽  
The Government ◽  
Fertilizer Technology

This study, based on the time-series data covering the period from 1956 to 1986, estimates production function in the agricultural sector of Pakistan. The strategy for agricultural development in the country has been based on greater utilization of "high pay-off' low-cost technology. The government advanced loans through financial institutions to make it possible for the farmers to acquire this technology. Despite the infusion of seed-fertilizer technology, per acre yield of major crops like wheat, rice, cereal and sugar-cane in Pakistan is lower than in most LDCs in the region. Therefore, it is concluded that the use of present technology has reached a plateau and it is time to look for additional inputs for improvement in productivity.

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