Socio-Economic Effects of Microfinance on Agricultural

The present quantitative study was conducted to explore the Socio-economic effects of microfinance on agricultural sector. Main objective was to examine socio-economic effect of loan on farmer’s daily life and to identify the social and cultural gaps those expel farmers in debts. Microfinance scheme has been dramatically increase in last decades to reduce poverty among farmers and upgrade their standard of life. Quantitative research design was used for data collection. Universe of the present study consisted of all farmers who were taking loan from ZTBL. Data was collected from two towns of Multan, Bosan town and Sher Sha town. A sample of 120 respondents was selected with the help of systematic random sampling. Interview schedule was used as a tool of data collection. Access to microfinance could view as in improving the productivity of farmers and contributing to uplifting the livelihoods. It also increases the production through which farmer is able to reinvest its surplus amount to gain maximum profit. The researcher proposed that the credit facility should be available on time while delaying in the complex procedure for taking loans resultant in the farmers not gets maximum profit regarding their plans