IMPACT OF GOVERNANCE ON SMALL AND MEDIUM SCALE INDUSTRIES (SME) GROWTH IN NIGERIA.

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ABSTRACT

Small and Medium Scale Enterprises has been facing a lot of challenges in Nigeria. This study examined the impact of governance on small and medium scales enterprises growth in Nigeria with Edo State in focus. The specific objectives are to examine how infrastructural development, government policy and availability of funding impacts on the growth of SMEs Edo State.  Survey research design was adopted and a sample of 323 questionnaires was distributed to SMEs operating in all the local government areas in Edo State. Simple percentages, tables was used to analyze the data while chi-square was used to test the hypotheses. The outcome of the findings shows that poor infrastructural development in the state, harsh government policy and lack of access to funding all contribute negatively to the growth of small and medium scale enterprises in Nigeria. The study therefore recommend that government should step up effort in its infrastructural development especially in the area of roads and power while also getting opinions of SME operators before formulating policies that will affect them directly.

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