- EVALUATION OF CONTRIBUTION OF COMMERCIAL BANK TO THE ECONOMIC DEVELOPMENT OF NIGEIRA (A CASE STUDY OF FIRST BANK OF NIGERIA PLC)
- ASSESSMENT OF CONTRIBUTION OF COMMERCIAL BANK TO THE ECONOMIC DEVELOPMENT OF NIGEIRA (A CASE STUDY OF FIRST BANK OF NIGERIA PLC)
- IMPACT OF COMMERCIAL BANKS IN AGRICULTURAL FINANCING IN NIGERIA (A Case Study of First Bank Nigeria Plc.)
- THE ROLE OF COMMERCIAL BANKS TO THE DEVELOPMENT OF SMALL SCALE INDUSTRIES IN NIGERIA
- AN ASSESSMENT OF CONTRIBUTION OF COMMERCIAL BANK TO THE ECONOMIC DEVELOPMENT OF NIGEIRA (A CASE STUDY OF FIRST BANK OF NIGERIA PLC)
- THE IMPACT OF CAPITAL MARKET FINANCING ON ECONOMIC DEVELOPMENT OF NIGERIA
- THE EFFECT OF COMMERCIAL BANKS IN AGRICULTURAL FINANCING IN NIGERIA (A Case Study of First Bank Nigeria Plc.)
- THE ROLE OF COMMERCIAL BANKS IN THE DEVELOPMENT OF SMALL SCALE INDUSTRIES IN NIGERIA
- AN APPRAISAL OF LENDING POLICIES IN COMMERCIAL BANKS IN NIGERIA
- EFFECT OF INTERNAL CONTROL SYSTEM IN ENHANCING DECISION-MAKING IN COMMERCIAL BANKS (A CASE STUDY OF FIRST BANK OF NIGERIA PLC)
ROLE OF COMMERCIAL BANKS IN FINANCING SMEs IN NIGERIA A CASE STUDY OF FIRST BANK PLC
This study discusses the Role of Commercial Banks in Financing SME in Nigeria
(A Case Study of First bank Plc) and whether Commercial Banks Assist SMEs in achieving productivity in Nigeria.
TABLE OF CONTENTS
Title page i
Table of contents v
CHAPTER ONE: INTRODUCTION
1.1 Background of the Study 1
1.2 Statement of the Problem 2
1.3 Research Questions 2
1.4 Objective of the Study 2
1.5 Significance of the Study 3
1.6 Statement of Hypothesis 3
1.7 Scope of the Study 4
1.8 Definition of Terms 4
CHAPTER TWO: REVIEW OF LITERATURE
2.1 Overview of Small and Medium Scale Enterprises 5
2.2 The Growth of SMEs and the contributive Schemes in Nigeria 7
2.2.1 The Nigeria Bank for Commerce and Industry (NBCI) 7
2.2.2 The Central Bank of Nigeria special Credit Programme for Small and Medium Scale Enterprises (SMEs) 7
2.2.3 World Bank facilities for Small and Medium Scale Enterprises 9
2.3 The Nigerian Financial System 10
2.4 Bank Loans to Small and medium-sized Enterprises 12
2.5 The Financial Crisis and SMES 14
2.5.1 Corporate restructuring and financial structure of SMEs 16
2.5.2. Credit crunch in the financial crisis and bank loans to SMEs 17
2.5 Theoretical Framework 19
2.6 Historical Background of First Bank Nigeria Plc. 21
CHAPTER THREE: RESEARCH METHODOLOGY
3.0 Introduction 26
3.1 Study Area 26
3.2 Research Design 27
3.3 Population of the Study 27
3.4 Population Size and Technique 28
3.5 Data Collection Method 28
3.6 Data Analysis 28
3.7 Limitation 29
CHAPTER FOUR: DATA PRESENTATION, ANALYSIS AND
4.1 Bio Data of Respondents 30
4.2 Tables Based on Research Questions 35
43. Research Hypothesis 39
CHAPTER FIVE: SUMMARY, CONCLUSION AND
5.1 Summary of Findings 43
5.2 Conclusion 43
5.3 Recommendations 44
1.3 Background of the Study
Small medium enterprises (SMEs) are considered the backbone of economic growth in all countries. They play an important role in Nigerians economic growth, as they constitute 97.2% of the companies in Nigeria .They also contribute to national development by positively influencing the distribution of income in both functional and nominal terms. In emphasizing the importance of SMEs, Rogers, 2014, stated; they enhance capacity building as they serve as entrepreneurial training avenues ; they create more employment opportunities; per unit of investment because of their labour intensive operations; they achieve a much more relative high value added operations because they are propelled by basic economic activities that depend mostly on locally sourced raw materials; they provide feeder industry services as they serve as major suppliers of intermediate goods and components to large-scale industries as well as major agents for the distribution of final products of such industries; they provide opportunities for the development local skill and technology acquisition through adaptation. Despite the catalytic role of SMEs in the economic emancipation of countries, some of their major operational challenges in Nigeria include financial problems. About 80% of small and medium enterprises are stifled because of poor financing.
The research intends to appraise the impact of commercial banks in the financing of SMEs in Nigeria, with a case study of first bank plc.
1.4 Statement of the Problem
Despite the significant role of SMES, they are largely affected by lack and insufficiency of funds to operate and expand their businesses. In view of this commercial banks in Nigeria play financial roles towards meeting the capital and operational funds required by SMES
1.3 Research Questions
1. What is the nature and roles of SMEs?
2. What is the nature of the financing problem of SMEs?
3. What is the role of commercial banks in financing SMEs in Nigeria?
4. What constitute the financing options of first bank to SMEs in Nigeria?
1.4 Objective of the Study
1 To appraise the nature and roles of SMEs in Nigeria
2 To determine the role of commercial banks in financing SMEs in
3 To appraise the role of first bank in financing SMEs in Nigeria.
1.9 Significance of the Study
The study shall highlight the significance of SMEs to the economy
The study shall analyze the roles of commercial banks in financing SMEs in Nigeria
The study shall provide financing options offered by first bank plc to SMEs in Nigeria.
The study shall serve as a veritable source of information to managers and consultants
1.10 Statement of Hypothesis
1 H0 SMEs is not significant to the economy
H1 SMEs is significant to the economy
2 H0 The financial challenge in SMEs is high
H1 The financial challenge in SMEs is low
3 H0 The impact of first bank in financing SMEs is low
H1 The impact of first bank in financing SMEs is high
1.11 Scope of the Study
The research shall appraise the role of commercial banks in financing SMEs in Nigeria.
It shall elucidate the nature and significance of SMEs as well as analyze the financing challenges of SMEs in Nigeria.
1.12 Definition of Terms
In Nigeria, the small and medium industries Enterprises investment scheme (SMIEIS) defines SMEs as any enterprise with a maximum asset base of N200 million excluding land and working capital and with a number of staff employed not less than 10 or more than 300.The federal ministry of commerce defines SMEs as firms with a total investment (excluding cost of land but including capital) of up to N750,000, and paid employment of up to fifty person, employee relationship, labour intensive operation, simple technology, fusion of ownership and management and limited access to capital.