Performance Analysis of Micro-Finance and Agro-Industrial Development in Nigeria

OKPEKE M.Y.

Department of Agricultural Extension and Management, School of Agriculture, Delta State Polytechnic, Ozoro, Delta State, Nigeria.

E-mail: mercyokpeke@gmail.com, okpekemercy@yahoo.com

ABSTRACT

The inadequate and frequent dearth of loans for financing agriculture has been a major impediment to agricultural development in most developing countries. This study on the performance analysis of micro-finance and agro-industrial development in Nigeria is therefore geared to identify microfinance institutions and other related institutions established for Agro-industrial development in Nigeria; to describe the sources of funding and performance of these finance institutions and to find out the justifications for their establishment. The paper employed only secondary data base on some key success indicators of some established Agro-financed Institutions in Nigeria. The findings show that weak institutional capacity, weak capital base, the existence of a huge un-served market, inadequate economic empowerment of the poor, insufficient employment generation and poverty reduction, the need for increased savings opportunity were some weaknesses of the existing Agro-financed Institutions in the Nigerian economy. In order to improve the performance of micro-finance services and Agro-industrial development would require people-centred programmes, full participation of the people, establishment of institutional infrastructure as well as social services and effective use of co-operative societies and unions for progress and success in the agro and allied industry sub-sector of the Nigerian economy.