This paper explores determinants of loan default by Agribusiness entities in the Tamale Metropolis of Ghana. Data to examine the causes of loan default was obtained from owners through structured questionnaire and descriptive statistics, Kendall coefficient of concordance and logistic binary regression was used to analyse the data. Financial variables were more significant than demographic characteristics of agribusiness entities to cause loan default. This suggests financial institutions must apply appropriate adjustments to financial variables in order to minimize loan default risk considering the agricultural sector.
Keywords: Credit Constraints, Ghana, Loan Default, Tamale, agribusiness, logit model
