Trends and composition of institutional credit to the agriculture sector during the post-reform period

zia, Jiyaur Rahman and zeba, Dr. Zeba Sheereen (2009): Trends and composition of institutional credit to the agriculture sector during the post-reform period.

Abstract

This paper attempts to analyse the changes in trends and composition of multi-agency network (Co-operatives, SCBs, and RRBs) in issuance of credit to agriculture sector during the post-reform period by using time series data from 1975 to 2005. The analysis reveals that the trends of direct (short and long-term) and indirect institutional credit to agriculture sector has increased significantly during the post-reform period. As far as the composition is concerned, the share of SCBs as percentage of total direct institutional credit has increased significantly whereas the co-operatives share has decreased. The regional rural banks contribution has been almost constant. We have also tried to find out the distribution of indirect finance through Scheduled Commercial Banks.

• Item Type: MPRA Paper
• Language: English
• Keywords: Credit;Agriculture;Post-reform period;banks;India
• Subjects: E - Macroeconomics and Monetary Economics > E5 - Monetary Policy, Central Banking, and the Supply of Money and Credit; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q1 - Agriculture > Q14 - Agricultural Finance; G - Financial Economics > G2 - Financial Institutions and Services > G21 - Banks ; Depository Institutions ; Micro Finance Institutions ; Mortgages

References

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