Impact of Bank Loan on Artisanal Fishing in Rivers State: A Case of Bank of Agriculture (BOA)

Abstract

The study focused on the impact of Bank loan on Artisanal Fishing in Rivers State: A case of Bank of Agriculture (BOA). The objectives of the study were to identify the Socio-economic characteristics of the fishers. Identify areas of impact from the Bank Loan and possible challenges. Purposive and random sampling were adopted to select (60) BOA loan beneficiaries and 40 non beneficiaries. Descriptive and inferential statistical tools were used in analysis such as frequencies and Likert-scale, etc. Socio-economic characteristics of the respondents shows that average age of loan beneficiaries was 47.3, non-beneficiaries was 42.9, About 86.6% of beneficiaries and 70% non-beneficiaries were male, 13.33 and 30% respectively, were female. Average family size was 5.6 and 5 for both beneficiaries and non-beneficiaries. About 66.67% and 77.5% of beneficiaries and non-beneficiaries has at least secondary school education. The result showed that, there was significant improvement in the income of the beneficiaries of BOA Loan, most of them invested the loan to expand their operations, purchase fishing gears which resulted in increased output/catch. Some of the challenges include: Distance to the city, documentation process and mandatory cash deposit as well as volume and timing of the loan, insecurity of water ways, Obnoxious activities of oil companies/ pollution of water and lack of equipment etc. The study recommended that more attention should be focused on granting of loans to rural and artisanal fisher folks, the Bank should open rural branches and cash offices. Government and Non-Governmental agencies should be encouraged to make fund available, adequate policing of the water ways to check the activities of sea pirates. Multinational oil companies should adopt international best practices to minimize pollution of our water and marine environment.