IMPACT OF BANGLADESH KRISHI BANK AGRICULTURAL LOAN ON THE SOCIO-ECONOMIC CONDITION OF SMALL FARMERS IN SARISHABARI UPAZILA OF JAMALPUR DISTRICT

Abstract

The purposes of the study were to ascertain the impact of BKB agricultural loan towards the socio-economic condition of small farmers, to explore the relationship between the characteristics of the small farmers and the impact of BKB agricultural loan on the socio-economic condition and to identify the problems faced by the BKB agricultural loan beneficiaries in receiving and utilizing of loans. The study was conducted in three unions of Sarishabari upazila in Jamalpur District. A list of 1103 beneficiaries was prepared with the help of respective SAAO of those unions, branch manager, loan officer and field assistant of that branch. From the list 110 beneficiaries were selected at random for sample. Data were collected during 1 September, 2013 to 30 th November, 2013. Pearson’s correlation co-efficient was used to explore the relationship between the variables. Findings showed that more than half compared to 26.36 percent had belonged to medium impact and 18.18 percent had belonged to high impact after involvement with BKB agricultural loan. Out of nine independent variables, farm size, loan availability and loan utilization had significant positive relationship with the impact of BKB agricultural loan on socio- economic condition of the small farmers. Based on the Problem Confrontation Index st followed by ‘loan is not available in time of need’. ‘High rate of interest’ was ranked third, ‘loan disbursement is delayed due to linger process’ was ranked fourth and “loan repayment period is very short’ was ranked last.