IMPACT ASSESSMENT OF THE COMMERCIAL AGRICULTURE CREDIT SCHEME (CACS) IN NIGERIA.

The evolution of the agricultural business environment has rendered traditional farming methods increasingly unprofitable due to the emergence of advanced technologies, high-yield seed varieties, and changing consumer preferences toward value-added, high-quality, and safe food products. Consequently, the agricultural sector requires substantial capital investment across its value chains to enhance productivity and competitiveness. However, access to credit remains a persistent constraint. To address this financing gap, the Federal Government of Nigeria, in collaboration with the Central Bank of Nigeria (CBN), launched the Commercial Agriculture Credit Scheme (CACS) in 2009. This study evaluates the impact of CACS on agricultural productivity, employment generation, asset accumulation, and market integration. A mixed-methods approach, combining structured surveys and focus group discussions, was employed to collect quantitative and qualitative data from beneficiaries nationwide. Findings reveal that CACS contributed significantly to output expansion, employment creation, and asset growth, though challenges related to disbursement timing and market access remain. The study concludes with policy recommendations for enhancing the schemes impact and sustainability.