MSMEs in Sub-Saharan Africa: An Introduction (Micro, Small and Medium Enterprises - PRESENTATION) (original) (raw)

Micro, small and medium scale enterprises are the driving force for any economy to develop. Many economies rely on this sector to boost their development as they translate to increase GDP, job creation, poverty alleviation, income redistribution and generally industrial revolution. This study was aimed at identifying those roles played by these MSME's to national development, the problems they encounter in growth and to proffer solution to these problems. To achieve these 50 MSME's were randomly selected from the 4 communities of ONELGA including; 30 MSME's from Omoku, 10 MSME's from Egbema, 6 MSME's from Ndoni and 4 MSME's from Egi. The data was analyzed using a simple mean (average). The findings revealed that Micro, Small and Medium scale industries (MSME's) play a vital role as a base for national development through job creation, poverty alleviation, income redistribution, establishment of indigenous industries. The findings also revealed that MSME's face serious challenges that affect their growth and development. These challenges include; short term loans, high interest rates, stringent collateral security, insecurity, infrastructural decay, lack of patronage and managerial problems.

This article investigates the contribution of small and medium enterprises towards the economic development in sub-Saharan African countries. It also examines the SMEs' role in employment creation and the challenges of the sector in accessing credit from most financial institutions. The study collected data from two hundred (200) respondents of SMEs operators in some of the countries (Ghana, Nigeria, and Togo etc.) and the data was analyzed using SPSS with the aid of statistical tools such as tables, pie chat, bar chart, histogram, frequencies and percentages. The research reveal that SME's contribution to the economic developments of Sub-Saharan African countries is overwhelming through the creation of employment, GDP, poverty reduction, empowerment of women, and supporting large companies. However, despite the great contribution of the sector, lack of capital, low level of education, electricity/power issues, and improper records keeping were identified as SME's challenges in the sub-Saharan Africa. The study concludes that: SMEs are very crucial to the development of sub-Saharan African economies so governments and key stakeholders should support their operations to ensure long term sustainability. We recommend that there should be monitoring and supervision by the sectors that provide the SMEs with credit to make sure that SMEs operators use the loans for the intended purposes to reduce default rate and collapse rates for long term existence.

The study carried out an empirical analysis of the growth of Micro, Small and Medium Enterprise (MSME) in Nigeria and its Impact on Economic Development. Variables such as Global Entrepreneurship Index (GEI), Gross Domestic Product (GDP), Unemployment Rate (UR) and Inflation Rate (IR) were used to determine the impact of the growth of MSMEs and Its Impact on Nigeria’s Economic Development. The study analyzed entrepreneurship from the cradle of civilization to 2017. However, due to unavailability of statistical data for GEI, the regression analysis only covered Year 2000 to 2017. Year 2000 because it is believed that enabling business policies were only provided after Nigeria started a new democratic dispensation in 1999. The hypotheses tested showed a positive relationship between GEI and GDP, and GEI and UR. This implies that entrepreneurship has a positive impact on Nigeria’s economy; it leads to economic growth and development as a result of increase in GDP. However, a positive relationship between GEI and UR means the more efficient and productive the MSME sector, the higher the rate of unemployment. This is confirmed by the fact that despite the increase in the amount of MSMEs to over 30 Million and its employment capacity of over 50 Million, there is still an increase in the rate of unemployment in Nigeria. It is believed that this is as a result of an ever increasing number of graduates which is believed to be above 500,000. As expected, there is a negative relationship between growth of the Micro, Small and Medium scale sector and inflation rate. This is a good fit as general availability of products as a result of multiplicity of MSMEs is expected to reduce the general price level of goods and lead to sufficiency. Using Global Entrepreneurship Index (GEI) as a proxy for entrepreneurship and Gross Domestic Product (GDP), Unemployment Rate (UR) and Inflation Rate (IR) as proxies for economic development, the findings showed that a causal relationship exists between GDP and GEI, IR and GEI, GDP and UR; GDP and IR. The study therefore recommends amongst others that the Nigerian government and other financial institutions should come to the aid of the Micro, Small and Medium Scale sector by providing special loan facilities which will enable them obtain modern technology. Irrespective of the sector, inefficiency will have a negative toll on economic development. Training facilities should be provided by relevant agencies to increase the efficiency of the MSME labor force. Special schemes should be introduced to encourage female entrepreneurs and provision of basic amenities such as road and electricity and an affordable transportation facility will be helpful.

The main thrust of this study was to investigate the role of government in the development of micro, small and medium enterprises (MSMEs) in Nigeria between 1991 and 2012. Three research hypotheses were formulated to guide and direct the study. Ex-post facto research design was adopted for the study. A sample of 300 respondents was selected and used for the study. Data for the study was collected using a validated and structured questionnaire. Data collected was analyzed using Pearson product moment correlation coefficient. Results from the findings revealed that: there exist a significant relationship between the provision of government capacity building programmes and development of MSMEs within the years under study. A significant relationship existed between financial support by Government and the development of MSMEs in Nigeria and a significant relationship exists between the provision of infrastructure by government and the development of MSMEs in Nigeria. The study recommend...

This study was undertaken to explore the critical role of micro small and medium enterprises to the economic development and investigate whether the sector has performed its crucial role in driving the Nigerian economy. However, the rationale of this research is to examine the critical role of MSMEs to the economic development and challenges to their success and development. Qualitative research approach was used to gather data from an in-depth interview conducted with eight MSMEs and microfinance bank and small and medium enterprises development agency (SMEDAN). The analysis of the interview was conducted to identify the multifaceted challenges constraining MSMEs performance as a viable tool for economic development in Nigeria. The study reveals that MSMEs are the key drivers for economic prosperity by providing Employment, Self-reliance and contributing to the Nation's GDP. However, in Nigeria the performance of MSMEs is far below expectation because of lack of access to finance and high-interest rate charged by some financial institutions like microfinance banks and lack of articulate coordination between the government agencies in providing the appropriate support to MSMEs. Similarly, the problem of Boko Haram insurgency have impacted negatively on the economic activities of MSMEs. To address the problems militating against the success of MSMEs in Nigeria. The federal government has to direct the apex bank (CBN) being the supervisory agency to ensure that microfinance banks are operating within the policy framework establishing them to increase credit access to MSMEs in order to deal with their financial challenges. The government also need to encourage entrepreneurial studies in polytechnic and universities emphasising technological studies that will motivate individual set up their business and thus creating employment opportunities. However, there was need for a broad spectrum strategy that will coordinate the activities of support agencies under one umbrella in facilitating the growth and development of MSMEs.

Iv ABSTRACT This study was conceived to investigate the influence of government policy on Small Medium Enterprises’ (SMEs) growth in Zambia. Micro, small and medium enterprises as the most common form of enterprise in many countries are very significant for the development of their market economies. They are the main creators of the new working places and they present a vital core of the market economy. The experiences of well developed countries show that the sector of micro, small, medium enterprises is a basic link to the growth and development of their public economy .policy making in the entrepreneurship field is complex and messy. Many areas of government policy affect levels of entrepreneurial activity. The mix of policy options will depend on a number of factors, including the prevailing attitudes of the population towards entrepreneurship, the structure of labor force, the size and role of Government, the prevalence of existing level of entrepreneurial activity and the existing MSMEs. It is common place for Governments to have policies to encourage the growth of local micro, small, medium enterprises as they can help to directly alleviate poverty by increasing income levels and creating jobs. This paper evaluates the government policies with respect to the MSMEs, and the performance of these enterprises in relation to these policies and assistance. In particular the article concentrates on the growth of entrepreneurship within the micro, small and medium_ sized enterprises in Zambia. In addition, it also considers the contribution of MSMEs towards the country employment generation. The global market has changed considerably as also the activities of MSMEs.Today, for business to survive, dynamism and entrepreneurship must exist in its fullest degree. We found in the records of MSMEs development that, those countries have succeeded in achieving higher growth of MSMEs, who have given much more emphases on Entrepreneurship Development program.