Analysis of Agricultural Credit Access and Its Effect on Farm Output in Zamfara State, North West Nigeria

Credit access remains a foundational enabler of agricultural investment and productivity growth among smallholder farmers. In Zamfara State, where agriculture employs the majority of the rural population, inadequate access to formal and informal credit constrains farm output and household welfare. This study analysed agricultural credit access and its effect on farm output in Zamfara State. Data were collected from 100 farming households in three local government areas through structured questionnaires. Variables included credit source, loan amounts, repayment terms, utilisation patterns, and production outcomes across major crops. Descriptive statistics, multiple regression, and two-sample t-tests comparing credit users and non-users were applied. Results showed that credit users achieved farm output values approximately 33 percent higher than non-users, attributable to improved input procurement and timely production activities. Informal moneylenders remained the most widely accessed credit source, reflecting the weak presence of formal agricultural finance institutions. Collateral requirements, complex loan application processes, and distance to bank branches were leading barriers to formal credit access. The study recommends strengthening the outreach of the Bank of Agriculture in Zamfara State and developing digital credit products accessible through mobile platforms. Farmer group-based credit guarantee mechanisms should also be explored. Keywords: agricultural credit, farm output, Zamfara State, smallholder farmers, financial access.