Agriculture sector has been playing an important role in economic development as well as for improving socio-economic conditions of small and marginal farmers in Uttar Pradesh. Capital plays an important role for increasing agricultural production, productivity, income, employment, and food security. However, capital formation is a major problem faced by this particular sector. Farmers are basically facing the problems of access to adequate credit, timely and low cost credit from institutional sources. Therefore, to raise the agricultural production, an adequate and timely credit is essential. The government has brought several reforms in banking sector to increase the agricultural credit for agricultural development in Uttar Pradesh. But, credit institutions have been failed to provide credit to the marginalized section of farmers. Credit institutions are facing various constraints like recovery problem, security problem and sound socio-economic problems in the state. The major challenge of the credit institutions is to provide adequate credit, remove inequality among farmers, and increase productivity. The purpose of this study is to analyse the growth of agricultural credit in Uttar Pradesh. This study is based on both primary and secondary data. Primary data has been collected from Bundelkhand region and Western region of Uttar Pradesh. Credit is a vital tool for increasing economic activities, supporting farmers for better protection as well as for bringing about a balance in the economy. Credit must be provided timely to the farmers for increasing agricultural production.