Impact of agricultural development Bank credit facility on small scale agro-processors and out grower farmers: a case study in the Twifo Hemang Lower Denkyira and Abura Asebu Kwamankese districts in the central region of Ghana

Abstract

The role of micro- finance in the livelihood improvement cannot be over emphasized. Agricultural Development Bank (ADB) credit to agro-processing farmers in the Central Region has increased and aims at increasing economic opportunities for commercial agro-processing farmers. As an agricultural country different types of crops and fruits are produced here. There is enough scope for export of these items through processing mechanism and value addition.Currently, there is no empirical information on the impact of this credit facility in the study areas. It is in this light that the research sought to find out the impact of Agricultural Development Bank (ADB) credit on agro-processing farmers.The study was conducted in Twifo Heman Lower Denkyira and Abura Asebu Kwamankese Districts in the Central Region. A descriptive research design was used for the study. Structured interview schedule was the major instrument use in the data collection.The results revealed that the Agricultural Development Bank (ADB) micro-credit facility has had a very high impact on the beneficiaries. Even though, the loan facility was insufficient, untimely and without any ADB pre administrative support, it has improved beneficiaries access to land, information, credit, and income to support their family education and standard of living. The research therefore recommends that ADB should increase its credit portfolio to cover more in the study areas.