Sources of Agricultural Credit to Small-Scale Farmers in EZEAGU Local Government Area of Enugu State, Nigeria

This research work analyzed the source of agricultural credit to small holder farmers in Ezeagu Local Government Area of Enugu State, Nigeria. This research described the various farm enterprises in the area. It determined the socio economic characteristics of the farmers, sources of credit to the farmers and the problems farmers face in loan procurement and repayment. The research showed that most farmers are married and preferred to borrow from institutions. Most of them fell at the age range of 45 years with family size of 6-10 children. Most of the farmers had informal education and operated 1-3 hectares of land for food production. The research also showed that the farmers engaged in crop production as the main enterprise and animal production as source of meat. Farmers obtained their loan from both formal and informal sources. The credit was used to increase productivity by purchasing new varieties of farm input, acquire piece of land, etc. Problems encountered by the farmers include high interest rate, illiteracy, diversion of fund, long time of loan increase their farm produce at low interest rate and with consideration of the enterprise type for period of repayment.