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The Role of Deposit Money Banks in the Financing of SMEs in Nigeria

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  • Emerah Ajevata Apollos
  • Oyedele Oloruntoba Stephen

Abstract

The objectives of this study are to determine how banks have financed the small and medium scale enterprises in nigeria,evaluate the problems that stalled the growth of smes in nigeria and find out appropriate ways of financing SMEs in Nigeria. Data were collected through questionnaire distributed to respondents. Simple percentages were used in presenting data while the chi-squared (x2) statistical technique was used to test the hypothesis.The result revealed that all the sampled investors in Small and Medium Scale Enterprises sourced their funds from personal savings, money lenders, thrift associations, friends and family members while a few sourced part of their working capital from banks. Equally it was observed that most of the SME operators had no knowledge of the various schemes put in place by the federal government to assist SMEs in Nigeria and have therefore not benefitted from the schemes. The result{X2cal (6.86)

Suggested Citation

  • Emerah Ajevata Apollos & Oyedele Oloruntoba Stephen, 2014. "The Role of Deposit Money Banks in the Financing of SMEs in Nigeria," Journal of Empirical Economics, Research Academy of Social Sciences, vol. 3(3), pages 163-171.
    • Handle: RePEc:rss:jnljee:v3i3p5
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    References listed on IDEAS

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