Punjab farmers’ financial journey: evaluating loan sources from 2002 to 2019

Authors

  • Dr. Ajad Singh Associate Professor, Department of Economics, Motilal Nehru College, University of Delhi, New Delhi, India
  • Dr. Ghanshyam Bairwa Associate Professor, Department of Economics, SGND Khalsa College, University of Delhi, New Delhi, India
  • Dr. Amrat Lal Meena Associate Professor, Department of Economics, Motilal Nehru College, University of Delhi, New Delhi, India

Keywords:

Punjab, Farmers, Loan sources, Institutional credit, Non-institutional credit, Income growth

Abstract

This study examines the evolution of loan sources accessed by farmers in Punjab from 2002 to 2019, focusing on income growth and the dynamics of institutional and non-institutional credit. Utilizing data from the 59th and 77th rounds of the National Sample Survey Office (NSSO) Situation Assessment Survey, this analysis covers a range of factors, including outstanding loan amounts, borrowing patterns, and interest rates across various landholding categories.

Findings indicate a notable increase in average income across all farmer categories, with significant correlations to enhanced access to institutional loans. The proportion of institutional loans has risen sharply, with marginal farmers increasing their reliance from 24.9% to 79.7% by 2019. Conversely, non-institutional loan dependence declined, reflecting a shift towards more formal credit sources. The analysis reveals that while larger farmers benefit more from institutional credit, marginal and small farmers also exhibit improved access, though they continue to face challenges. Overall, this study highlights the changing landscape of farmer financing in Punjab, underscoring the impact of policy initiatives aimed at improving credit accessibility and financial stability among agricultural households.

References

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Published

2024-08-06

How to Cite

[1]
A. Singh, G. Bairwa, and A. L. Meena, “Punjab farmers’ financial journey: evaluating loan sources from 2002 to 2019”, J. Soc. Rev. Dev., vol. 3, no. 2, pp. 22–30, Aug. 2024.

Issue

Vol. 3 No. 2 (2024)

Section

Articles

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Copyright (c) 2024 Dr. Ajad Singh, Dr. Ghanshyam Bairwa, Dr. Amrat Lal Meena

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