IDEAS home Printed from https://ideas.repec.org/a/eme/caerpp/v2y2010i4p412-419.html
   My bibliography  Save this article

Institutional credit and rice productivity: a case study of District Lahore, Pakistan

Author

Listed:
  • Muhammad Khalid Bashir
  • Yasir Mehmood

Abstract

Purpose - The purpose of this paper is to analyze how institutional credit affected the productivity of rice crop in District Lahore, Punjab Pakistan. Design/methodology/approach - For this purpose, stratified random sampling technique was adopted to select the sample respondents. The district was divided into three strata; from each stratum two villages were randomly selected and from each village ten loanee farmers were randomly selected from the given list of borrowers. An equal number of non‐loanee farmers were also selected. Cobb Douglas function was used to calculate the impact of credit on rice productivity. Findings - The coefficient of credit was significant, which indicated that credit has a positive impact on the productivity of rice, providing a clue that credit is an important tool for improving and increasing the agricultural productivity in general and that of rice in particular. Originality/value - The paper will be an important addition to the literature in the current credit impact studies and will help especially the agricultural planners who are responsible for allocating funds for the agricultural sector in general and for the rice sector in particular. The paper's recommendations will help mitigate the problems of the farming community, especially of the small farmers in securing the institutional credit.

Suggested Citation

  • Muhammad Khalid Bashir & Yasir Mehmood, 2010. "Institutional credit and rice productivity: a case study of District Lahore, Pakistan," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 2(4), pages 412-419, November.
    • Handle: RePEc:eme:caerpp:v:2:y:2010:i:4:p:412-419
    DOI: 10.1108/17561371011097722
    as

    Download full text from publisher

    File URL: https://www.emerald.com/insight/content/doi/10.1108/17561371011097722/full/html?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://www.emerald.com/insight/content/doi/10.1108/17561371011097722/full/pdf?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1108/17561371011097722?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Muhammad Iqbal & Munir Ahmad & Kalbe Abbas, 2003. "The Impact of Institutional Credit on Agricultural Production in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 42(4), pages 469-485.
    2. Muhammad Khalid Bashir & Zulfiqar Ahmad Gill & Sarfraz Hassan, 2009. "Impact of credit disbursed by commercial banks on the productivity of wheat in Faisalabad district," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 1(3), pages 275-282, May.
    3. Carter, Michael R., 1989. "The impact of credit on peasant productivity and differentiation in Nicaragua," Journal of Development Economics, Elsevier, vol. 31(1), pages 13-36, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hongyun Zheng & Wanglin Ma, 2021. "The role of resource reallocation in promoting total factor productivity growth: Insights from China’s agricultural sector," Review of Development Economics, Wiley Blackwell, vol. 25(4), pages 2350-2371, November.
    2. Hussain, Anwar Hussain, 2012. "Impact of Credit Disbursement, Area under Cultivation, Fertilizer Consumption and Water Availability on Rice Production in Pakistan (1988-2010)," MPRA Paper 41963, University Library of Munich, Germany.
    3. Abbas Ali Chandio & Yuansheng Jiang & Feng Wei & Abdul Rehman & Dan Liu, 2017. "Famers’ access to credit: Does collateral matter or cash flow matter?—Evidence from Sindh, Pakistan," Cogent Economics & Finance, Taylor & Francis Journals, vol. 5(1), pages 1369383-136, January.
    4. Abbas Ali Chandio & Fayyaz Ahmad & Ghulam Raza Sargani & Asad Amin & Martinson Ankrah Twumasi, 2022. "Analyzing the effective role of formal credit and technological development for rice cultivation," Asia-Pacific Journal of Regional Science, Springer, vol. 6(2), pages 683-711, June.
    5. Abbas Ali Chandio & Yuansheng Jiang & Abdul Rauf & Fayyaz Ahmad & Waqas Amin & Khurram Shehzad, 2020. "Assessment of Formal Credit and Climate Change Impact on Agricultural Production in Pakistan: A Time Series ARDL Modeling Approach," Sustainability, MDPI, vol. 12(13), pages 1-21, June.
    6. Md.Salamun Rashidin & Sara Javed & Bin Liu & Wang Jian, 2020. "Ramifications of Households’ Nonfarm Income on Agricultural Productivity: Evidence From a Rural Area of Pakistan," SAGE Open, , vol. 10(1), pages 21582440209, January.
    7. Adewale Isaac Olutumise, 2023. "Impact of credit on the climate adaptation utilization among food crop farmers in Southwest, Nigeria: application of endogenous treatment Poisson regression model," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 11(1), pages 1-19, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sial, Maqbool Hussain & Awan, Masood Sarwar & Waqas, Muhammad, 2011. "Role of Institutional Credit on Agricultural Production: A Time Series Analysis of Pakistan," MPRA Paper 31815, University Library of Munich, Germany.
    2. Abbas Ali Chandio & Yuansheng Jiang & Abdul Rauf & Fayyaz Ahmad & Waqas Amin & Khurram Shehzad, 2020. "Assessment of Formal Credit and Climate Change Impact on Agricultural Production in Pakistan: A Time Series ARDL Modeling Approach," Sustainability, MDPI, vol. 12(13), pages 1-21, June.
    3. Patwary, Md. Sazzad Hossain & Islam, Md. Shahidul & Mosharrafa, Rana Al, 2023. "Effect of bank credit on agricultural gross domestic product," Agricultural and Resource Economics: International Scientific E-Journal, Agricultural and Resource Economics: International Scientific E-Journal, vol. 9(1), March.
    4. Muhammad Khalid Bashir & Zulfiqar Ahmad Gill & Sarfraz Hassan, 2009. "Impact of credit disbursed by commercial banks on the productivity of wheat in Faisalabad district," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 1(3), pages 275-282, May.
    5. Akmal, Nadeem & Rehman, Bushra & Ali, Akhtar & Shah, Hassnain, 2012. "The Impact of Agriculture Credit on Growth in Pakistan," Asian Journal of Agriculture and Rural Development, Asian Economic and Social Society (AESS), vol. 2(04), pages 1-5, December.
    6. Tahir Mahmood & Noman Arshed, 2022. "Identifying the Demand-Based Financial Issues in the Agriculture Sector of Pakistan: A Qualitative Thematic Analysis," iRASD Journal of Management, International Research Alliance for Sustainable Development (iRASD), vol. 4(1), pages 26-37, March.
    7. Malabayabas, Maria Luz L. & Mishra, Ashok K. & Mayorga, Joaquin, 2023. "Spouses' Access to Financial Services: Estimating Technological and Managerial Gaps in Production," IZA Discussion Papers 16578, Institute of Labor Economics (IZA).
    8. Unal Seven & Semih Tumen, 2020. "Agricultural Credits And Agricultural Productivity: Cross-Country Evidence," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 65(supp01), pages 161-183, December.
    9. Shailesh Rastogi & Rajani Gupte & R. Meenakshi, 2021. "A Holistic Perspective on Bank Performance Using Regulation, Profitability, and Risk-Taking with a View on Ownership Concentration," JRFM, MDPI, vol. 14(3), pages 1-22, March.
    10. Mwaka Kayula & Collins Otieno Odoyo & Chanda Sichinsambwe, 2022. "Effects of Crop Insurance and Finance on Small-Scale Maize Productivity in Zambia," International Business Research, Canadian Center of Science and Education, vol. 15(10), pages 1-48, October.
    11. Nepal Rastra Bank NRB, 2015. "Agricultural Credit and its Impact on Farm Productivity: A Case Study of Kailali District," Working Papers id:7055, eSocialSciences.
    12. Muhammad Iqbal & Munir Ahmad & Kalbe Abbas, 2003. "The Impact of Institutional Credit on Agricultural Production in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 42(4), pages 469-485.
    13. Zaid Ashiq Khan & Mansoor Ahmed Koondhar & Noshaba Aziz & Uzair Ali & Liu Tianjun, 2020. "Revisiting the effects of relevant factors on Pakistan's agricultural products export," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 66(12), pages 527-541.
    14. Fateh M. Mari & Heman D. Lohano, 2007. "Measuring Production Function and Technical Efficiency of Onion, Tomato, and Chillies Farms in Sindh, Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 46(4), pages 1053-1064.
    15. Carter, Michael R. & Barham, Bradford L. & Mesbah, Dina & Stanley, Denise, 1993. "Agro-Exports and the Rural Resource Poor in Latin America: Policy Options for Achieving Broadly-Based Growth," Staff Papers 200571, University of Wisconsin-Madison, Department of Agricultural and Applied Economics.
    16. Bidisha, Sayema Haque & Hossain, Md. Amzad & Alam, Rubaiyat & Hasan, Md. Mehedi, 2018. "Credit, tenancy choice and agricultural efficiency: Evidence from the northern region of Bangladesh," Economic Analysis and Policy, Elsevier, vol. 57(C), pages 22-32.
    17. Carter, Michael R. & Zimmerman, Frederick J., 2000. "The dynamic cost and persistence of asset inequality in an agrarian economy," Journal of Development Economics, Elsevier, vol. 63(2), pages 265-302, December.
    18. Eliana Wulandari & Miranda P M Meuwissen & Maman H Karmana & Alfons G J M Oude Lansink, 2017. "Access to finance from different finance provider types: Farmer knowledge of the requirements," PLOS ONE, Public Library of Science, vol. 12(9), pages 1-15, September.
    19. Savadogo, Kimseyinga & Reardon, Thomas & Pietola, Kyosti, 1998. "Adoption of improved land use technologies to increase food security in Burkina Faso: relating animal traction, productivity, and non-farm income," Agricultural Systems, Elsevier, vol. 58(3), pages 441-464, November.
    20. Foltz, Jeremy D., 1998. "Credit Market Constraints And Profitability In Tunisian Agriculture," 1998 Annual meeting, August 2-5, Salt Lake City, UT 21017, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eme:caerpp:v:2:y:2010:i:4:p:412-419. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Emerald Support (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.