Nigerian Journal of Banking and Financial Issues (NJBFI)

IMPACT OF TOTAL SAVINGS ON AGRICULTURAL PRODUCTIVITY AMONG COMMERCIAL FARMERS IN EKITI STATE, NIGERIA

Abstract

This research investigated the impact of total savings on agricultural productivity among commercial farmers in Ekiti State, Nigeria, utilizing a descriptive survey design. The specific population comprises 1,200 registered commercial farmers in Ekiti State, as recorded by the Ministry of Agriculture. A stratified random sampling technique was employed to select a representative sample of 300 farmers from different local government areas, considering the proportional distribution of farmers in each stratum. The study assessed the level of total savings among commercial farmers, identify patterns of investment in agricultural inputs, asset accumulation and emergency fund size Data for the study were gathered using a self-created survey called the “Impact of Total Savings on Agricultural Productivity Questionnaire” (ITSAPQ). Three null hypotheses were generated and tested at the significance level of 0.05. Data were analyzed using inferential statistics such as correlation and simple regression analysis. The study's findings revealed investment in agricultural inputs and asset accumulation significantly influenced agricultural productivity. Also, the study revealed a positive correlation between emergency fund size and agricultural productivity among commercial farmers. Based on the findings, the study recommended that government should develop and implement supportive policies and initiatives that incentivize farmers to save and invest in sustainable agricultural practices. Also, Government should implement comprehensive financial literacy programmes targeted at commercial farmers to maximize the impact of their savings on agricultural productivity.