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Agricultural financing

ClassNotes Team 3 MIN READUPDATED 27 JUN 2026

Agricultural science S.S.S 1 Third Term

Week 8

Agricultural financing

PERFORMANCE OBJECTIVES

Students should be able to:

  1. Define agricultural finance.
  2. State and discuss the importance of agricultural finance.
  3. Determine sources of financing

Content

MEANING OF AGRICULTURAL FINANCE

Agriculture finance is defined as the act of acquisition and use of capital in agriculture. In other words, it deals with the supply of and demand for funds in the agricultural sector of the economy.

Importance of agricultural finance.    

  1. It enables the farmer to meet seasonal and annual fluctuations in income and expenditure.
  2. It enables farmers to adjust to changing economic conditions.
  3. It also increases the efficiency of the farmers.
  4. It enables the farmer to increase the size of his farm.
  5. It helps…