Abstract
The study assessed LAPO bank credit as an innovation for improving the income of users
in Benue State, Nigeria and adopted multi-stage sampling technique of sample size, 100
with descriptive and inferential statistics as tools of analysis of data from primary source.
Results showed that 69.0% of the respondents were males, married (62%), having one
form of formal education or the other (77%), mean age of 34.58 years, mean annual
income of N348.670.00, mean household size of 9 persons and mean experience of 8.69
years. The variables that influenced the probability of use of LAPO bank credit were
education, household size, access to credit and experience, they were all significant at 1%
level of probability, while sex was significant at 5%. The study finds that LAPO bank credit
improves the income of the users as income after usage significantly improved compared
to income before usage. The study concludes that LAPO bank credit innovation could be
a panacea to improve the income of the users as it has high potential for contribution to
growth of Nigerian economy. It is recommended that government and non-governmental
agencies should come with more interventions to provide soft loan to citizens so as to
create greater impact on their income.
References
Women through Microcredit Borrowings in Nigeria. Sustainability, 12, 22-75.
Onyele, O. K., & Onyele, C. O. (2020). The Effect of Microfinance Banks on Poverty
Reduction in Nigeria, Management Dynamics in Knowledge Economy. 8(3): 257
Ogah et al.
JAEESS 11(2) August, 2025
275.
Awojobi, O. N. (2019). Microcredit as a Strategy for Increasing Farmer’s Productivity in
Nigeria: A Systematic Review of Literature. Global Journal of Social Sciences,
18, 53-64.
Banerjee, S. B., & Jackson, L. (2017). Microfinance and the Business of Poverty
Reduction: Critical Perspectives from Rural Bangladesh. Human Relations, 70(1):
63–91.
Benue State Agricultural and Rural Development Authority [BNARDA] (2004). Sex,
Shame and Poverty. Report of a Rapid Appraisal of Health Needs in Rural Benue,
DFID, Abuja, Nigeria.
CBN, (2020), Microfinance Policy Regulatory and Supervisory Framework
for Nigeria. Abuja: CBN CGAP (2022). Consensus Microfinance Policy
Guidance: Regulation and Supervision, September, 2022.
Dupas, P. & Robinson, J. (2021). Savings Constraints and Microenterprise Development,
Evidence from Field Experiment in Nigeria” No 14693. Nigeria Mass National
Bureau of Economic Research.
Ehigiamusoe, G. (2017). Bridging the Gap, Women Financing: A Case Study of LAPO
Microfinance Bank L.T.D, Case Study no 6: pp 1-12.
Ikechukwu, A. 2016. Microfinance Banking in Nigeria: Problems and Prospects.
International Journal of Finance and Accounting, 1(5): 106-111.
Jain, M. K. & Munoz, B.T. (2017). Do Rural Microcredit Borrowers Fare better in
Reducing Poverty than Urban Borrowers? Discussion Paper January, Oiko Credit
Berkenweg 7, Nigeria.
Kwai, M. D. & Urassa, J. K. (2015). The Contribution of Savings and Credit Cooperatives
Societies to Income Poverty Reduction: A Case Study of LAPO in Benue, Nigeria
Academic journals, 7(4): 99-111.
Mecha, N. S. (2017). Effect of Microfinance on Poverty Reduction: A Critical Scrutiny of
Theoretical Literature. Global Journal of Commerce and Management
Perspective, 6(3): 16-33.
Najmi, H. S. M., Bashir, F. & Zia, M. Z. (2015). Socio-economic Impact of Microfinance
Borrowers: A Case of LAPO Bank, Nigerian Journal of Humanities and Social Sciences,
3(1): 41-61.
NPC, (2006). National Population Commission. Population Census Statistics, Abuja,
Nigeria
Ogah, O. M., Olagunju, O. T. & Ogebe, F. O. (2021). Farmers' Cooperative and
Agricultural Productivity in Ogun State, Nigeria Journal of Agricultural
Economics, Extension and Science, 7(4): 103-115.
11
Ogah, O. M., Okee, A. M. & Mamvong, N. L. (2016). Evaluation of Women Performance
Ogah et al.
JAEESS 11(2) August, 2025
in Agricultural Cooperatives in Makurdi Local Government Area of Benue State,
Nigeria. Journal of Agricultural Economics, Extension and Science 2 (2& 3): 21
27.
Ogah, O. M., Ogebe, F.O., & Shehu, M. A. (2020). Analysis of Income Determinants
among Farm Households in Kaduna State, Nigeria, International Journal of
Agricultural Science, Research and Technology in Extension and Education
Systems 10(1): 29-34.
Ogah, O. (2011). Economic Evaluation of First Bank Small Scale Agricultural Credit and
its Impact on the Income of Users in Kaduna and Katsina States, Nigeria. LAP
LAMBERT Academic Publishing GmbH&Co.KG, Deutschland, Germany. Pp
124.
Omino, A. (2015). Is there a State of the Art in Microfinance? In Joe Remeny and
Benjamin- Quinones Jr (eds), Microfinance and Poverty Alleviation- Case Studies
from Oyo Nigeria:
Onyele, O. K., & Onyele, C.O., (2020). The Effect of Microfinance Banks on Poverty
Reduction in Nigeria, Management Dynamics in Knowledge Economy. 8(3): 257
275.
Oyesiku, J. (2020). An Assessment of Poverty Reduction Strategies in Nigeria (1983-
2002). A Dissertation Submitted in Partial Fulfillment of the Requirement for the
Award of the Doctor of Philosophy, 67-76.
Seun, S., Nabunya, P., Byansi, W., Sensoy Bahar, O., Damulira, C & Neilands, T. B
(2020). Access and Utilization of Financial Services among Poor HIV-Impacted
Children and Families in Uganda. Children and Youth Services Review, 109,
104730.
Sohn, W. & Ume, L. (2019). Impact of Microfinance on Poverty Alleviation: A global
Analysis. Journal of Economics and Development Studies 7(2):82-102.
Sulaiman, A. & Dinye, R. D. (2016). Microloan and Agricultural Sector Income in
Developing Countries: Empirical Study of the PRU District of Ghana, Asian
Economic and Financial Review, 6(1):43-53.
World Bank (2019). Jumpstarting Inclusive Growth: Unlocking the Productive Potential
of
Nigeria’s
People and Resource Endowments. Retrieved from
http://documents.worldbank.org/curated/en/394091575477674137/Jumpstarting
Inclusive-Growth-Unlocking-the-Productive-Potential-of-Nigeria-s-People
andResource-Endowments.