Loan Utilisation Pattern and Repayment Behaviour of Farmers: A Study on Alathur Primary Cooperative Agricultural and Rural Development Bank in Palakkad District

Abstract

CARDBs have been assigned a vital role in agricultural development of our
country. It is through the branches of these banks that various programmes of the government
are being implemented in the agricultural sector. The basic task of these banks is to develop
agriculture sector, which is the main occupation of the majority of people in our country and a
major contributor to national income. However, the PCARDBS in Kerala are passing through
its rough stage today. Many number of them are running at loss. The present study attempts to
analyse the performance of these banks by specially considering the loan utilisation pattern
and repayment behaviour of farmers who have availed loan from these bank. Data for the
study was collected from sixty farmers who availed loan from Alathur PCARDB in Palakkad
district of Kerala and was subjected to analysis using the statistical tools such as percentage
analysis, indices and logistic regression analysis.