The Volume and Impact of Agricultural Institutional Finance in Agricultural Production in Sikkim
Keshar Prasad Sharma* & Dr. Mridula Devi**Institutional credit greatly boosts agricultural productivity by providing the resources needed for input investment, which, when combined with gross sown area and suitable rainfall, improves output. However, credit allocation differs by district, owing to physical considerations such as location and topography. This unequal distribution can result in differences in agricultural development and output across regions. Areas with tough conditions frequently earn less credit, limiting their agricultural potential. To achieve more equitable development and maximise the benefits of institutional credit, it is critical to address regional imbalances through tailored policies and support systems. Study has used log linear regression model to analyse the data and it has been found that institutional credit, gross sown area and annual rainfall are statically significant with the agricultural production.