Analysis of the Effect of Microfinance Institutions on Poverty Reduction in Nigeria
Journal Title: Academic Journal of Economic Studies - Year 2019, Vol 5, Issue 2
Abstract
Credit inaccessibility constitutes a major hindrance to business growth in Nigeria, where a large majority of micro and small business owners do not have adequate collateral to secure a loan. This study examined the effect of microfinance institutions on reduction of poverty as well as entrepreneurial activities in Nigeria. The study employed a survey research instrument through the administration of questionnaires to two hundred (200) micro and small-scale business enterprises in Ikpoba Okha Local Government Area of Edo State, Nigeria. The study adopted Pearson correlation, multivariate regression techniques, Heteroskedasticity diagnostic test and Ramsey RESET test for data analyses. The results showed that microfinance institution and poverty alleviation were positively and significantly related while entrepreneurial activity and poverty reduction were positively and insignificantly related. The study recommended that microfinance institutions should be given a conductive environment to operate in order to assist in developing micro and small business enterprises, thereby help mitigate the effect of poverty ravaging the Nigerian society.
Authors and Affiliations
Ehiabhi Andrew Tafamel
Keywords
Related Articles
- EP ID EP598401
- DOI -
- Views 159
- Downloads 0
Considerations on the Integration of Environmental Information in the Entity's Financial Accounting System
Starting with the ’70, environmental accounting was prone to debates within the scientific community. During the different stages in the environment accounting evolution, the development of this concept took place around...
Tanzania’s 2010–2015 Development Plan and Industrial Growth
Tanzania is striving to become a middle income country by 2025. So plans are laid down and efforts put forward to industrialize the economy. In 2010 the government initiated a Five Year Development Plan 2010–2015, aiming...
Online Advertising Impact in the Bio Products Decision Purchase Process
As time passes by, people have become more and more interested in a healthy lifestyle. This is due to a number of external factors (stress, fatigue, sedentariness) that harm the general health of the body. The main idea...
An Internal Audit Perspective on Differences between European Corporate Governance Codes and OECD Principles
The main purpose of this research is to realize an analysis from an internal audit perspective of European Corporate Governance Codes, in regards with Organization for Economic Cooperation and Development – OECD Principl...
An Analysis on the Factors Which Influence the Earnings of Micro and Small Business: Case at Blacksmith Metal Industry
This study aimed to know existing The Micro and Small Business in Blacksmith in Tapanuli Utara Regency; Indonesia is the livelihood or creative economy of craftsmen since hundreds of years ago by Lake Toba such as at Sit...