Agricultural loans play an important role in increasing the ability of farmers to practice agricultural activity by providing the productive inputs they need. The contribution of loans provided by the Egyptian Agricultural Bank is considered to cover the production costs of agricultural projects, the most important of which is broiler poultry.
The research aimed to estimate the impact of agricultural loans on the production efficiency and profitability of broiler poultry in the New Valley Governorate. The most important search results were as follows:
1- The feasibility of investment for small-scale poultry fattening farms in the New Valley Governorate, according to the current situation, shows that the net present value (NPV) without a loan has achieved a positive value of about 190 thousand pounds. While the net present value (NPV) with a loan achieved a positive value of about EGP 236 thousand.
As for the return-to-cost ratio (B/C ratio) for farms without a loan, it amounted to about 1.07, while in the case of farms with a loan, it amounted to about 1.08. With regard to the internal rate of return (IRR) with a loan and another without a loan, it achieved a rate of about 24% and 30%, respectively, which indicates that it is higher than the opportunity cost available for investing capital in society, which is represented by the prevailing commercial interest rate of about 9.25% during 2021.