Volume 17, Issue 5 (2015)                   JAST 2015, 17(5): 1095-1101 | Back to browse issues page

XML Print

Download citation:
BibTeX | RIS | EndNote | Medlars | ProCite | Reference Manager | RefWorks
Send citation to:

Pishbahar E, Ghahremanzadeh M, Ainollahi M, Ferdowsi R. Factors Influencing Agricultural Credits Repayment Performance among Farmers in East Azarbaijan Province of Iran. JAST. 17 (5) :1095-1101
URL: http://jast.modares.ac.ir/article-23-1033-en.html
1- Department of Agricultural Economics, Faculty of Agriculture, University of Tabriz , Tabriz, Islamic Republic of Iran.
Abstract:   (5590 Views)
One of the main challenges facing the Agriculture Bank of Iran regarding lending loans is the high probability of default by farmers. Several factors could be involved in this issue and should be considered in order to control and reduce the risk in the failure of repayment. This study aimed to examine the factors affecting the repayment performance of agricultural loans in the city of Maragheh in East Azarbaijan Province of Iran. Required data were obtained from a sample of 779 individual farmers who had previously received loans from Agricultural Bank during the period 2004-2008. Nested Logit Model (NLM) was applied for analyzing the data and, for this purpose, STATA software was used in the study. Results revealed that having an activity besides farming, extension of the repayment period of the loan, and large volume of received loans are the factors that had significant negative impacts on loan repayment. On the other hand, factors including high interest rates of loans, having collateral of guarantor, services received from the banks, and long term maturity period for the loans increase the probability of timely loan repayment significantly. 
Full-Text [PDF 118 kb]   (9717 Downloads)    
Article Type: Research Paper | Subject: Agricultural Economics
Received: 2013/02/5 | Accepted: 2014/10/27 | Published: 2015/09/1

Add your comments about this article : Your username or Email:

Rights and permissions
Creative Commons License This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.