Contribution of Small and Medium-Scale Enterprises to the Growth of Nigeria’s Economy

• Post by: airjournal
• October 11, 2022
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ABSTRACT

This study is the contribution of small and medium-scale enterprises to the growth of Nigeria’s economy. Specifically, the study examines the effect of SMEs’ job creation and evaluates the effect of SMEs’ employment on Nigeria’s gross domestic product. A descriptive survey research design was adopted for this study. The key instrument applied for this study was a questionnaire. The questionnaire was rated using five-point Likert’s scale point response options. Taro-Yamane’s formula was used to determine the sample size. Data collected for the study were analyzed by the scholar using frequency counts and mean scores. The two hypotheses were tested using Z-test.

The result revealed that entrepreneurial activities create employment for the people with an estimated value (7.9>1.98) and at the same time, Entrepreneurial activities have significantly reduced unemployment by an estimated value (5.69>1.98) in South East Nigeria. We conclude that entrepreneurial activities create employment opportunities for the people of South East Nigeria. We recommence that the government needs to create an investor-friendly environment to encompass stable macroeconomic policies. Also, there is a need to ensure that those with innovative ideas are provided with the financial support to translate such ideas into reality.

Keywords: Nigeria’s Economy; Growth; Small and Medium-Scale Enterprises

Authorship: Euphemia O. O. | FULL PDF