Credit constraints in farming reduce income by 5.1%, study finds.
Farmers in rural Sindh, Pakistan face credit constraints that limit their ability to invest in modern agricultural practices. A study found that over half of farmers are affected by these constraints, which hinder both agricultural investment and income. Without these constraints, farmers could increase their investment by 7.3% and their income by 5.1%. Removing or reducing credit constraints could lead to higher profits for farmers in the country.