Abstract:
The study examined credit constraints and poverty status of women paddy rice farmers in southwest Nigeria. Credit is major hindrance affecting productivity of women rice farmers keeping them in perpetual poverty level. One of the ways of enhancing productivity in the developing countries is the development of small scale enterprises.
Primary data was used to collect data from a sample of 300 women paddy rice farmers through multistage sampling procedure in the study area. Data collected were analysed using descriptive statistics, Foster-Greer-Thorbecke (FGT) poverty measure and Endogenous Switching Regression Model (ESRM). The result showed among others that 58% were credit constrained while 42% were not. The mean age of the the respondents was 47.6%, 91% of the respondents were married women. The result of the FGT revealed that 64.2% of the credit constrained respondents were poor while 35.8% were non-poor, about 46.46% of the credit non- constrained respondents were poor while 53.54% were non-poor, indicating that majority of the respondents were poor. Endogenous Switching Regression Model revealed that number of years spent in cooperative society, Educational status, saving habit, and Household size were the major factors influencing credit constraint and productivity of women paddy rice farmers in the study area. The ESRM result also showed that, the coefficient of number of years spent in cooperative society, educational status, household size and saving habit, extension contact and farm size were the factors affecting the credit and poverty status of the women paddy rice farmers in the study area. The constraints facing rice productivity in the study area were: inadequate funding, inadequate credit, shortage of land, rapid infestation of pest, shortage of labour, and shortage of land among others
