A CRITICAL ANALYSIS OF THE ROLE OF BANK OF INDUSTRY TOWARDS THE DEVELOPMENT OF SMALL AND MEDIUM SCALE ENTERPRISES IN NIGERIA


A CRITICAL ANALYSIS OF THE ROLE OF BANK OF INDUSTRY TOWARDS THE DEVELOPMENT OF SMALL AND MEDIUM SCALE ENTERPRISES IN NIGERIA   

ABSTRACT:  

This research work is conducted on the role of bank of industry towards the development of small scale enterprises. The aims and objectives of the study is to analyze the various role played by bank of industry in developing small scale enterprises as well as the activities of government policies, such as provision of infrastructural facilities. The researcher uses the questionnaire and interview method to collect the data from the respondents. The analysis and crossed tabulation of data gathered were done using the mean statistical method with the 1-5 Likert rating scale for proper accuracy in arriving at a dependable decision rule. Lastly the researcher concluded that, the bank of industry was able to maintain its customer because they do welcome whatever kind of financial assistance, he finally recommended that, the government should also endeavour to appoint the workers to teach the entrepreneur who does not have the advantage of attending seminar or workshops especially the illiterate ones.

TABLE OF CONTENTS

Cover page - - - - - - - - - i

Title page - - - - - - - - - ii

Declaration - - - - - - - - - iii

Approval page - - - - - - - - iv

Dedication - - - - - - - - - v

Acknowledgement - - - - - - - vi

Abstract - - - - - - - - - vii

Table of contents - - - - - - - - viii

CHAPTER ONE: 

Introduction - - - - - - - - 1

1.1 Background of the study - - - - - 1

1.2 Statement of the problem - - - - - 3

1.3 Objectives of the study - - - - - - 4

1.4 Significance of the study - - - - - 5

1.5 Research questions - - - - - - 5

1.6 Scope of the study - - - - - - 6

1.7 Limitation of the study - - - - - - 6

1.8 Definition of terms - - - - - - 6

CHAPTER TWO: Literature Review

2.0 Introduction - - - - - - - 8

2.1 Conceptual Framework of small scale enterprises - 9

2.2 Definition - - - - - - - - 12

2.3 Reasons for small scale enterprises - - - 19

2.4 Reward for entrepreneurs - - - - - 21

2.5 Bank of Industry - - - - - - 25

2.6 Government and small scale enterprises - - - 28

2.7 Summary of Review - - - - - - 37

CHAPTER THREE: Research Methodology

3.0 Introduction - - - - - - - 38

3.1 Research design - - - - - - - 38

3.2 Area of study - - - - - - - 39

3.3 Population of the study - - - - - - 39

3.4 Sample size and sampling technique - - - 40

3.5 Instruments for data collection - - - - 40

3.6 Validation of the instrument - - - - - 41

3.7 Reliability of the instrument - - - - - 42

3.8 Methods of data collection 

3.9 Method of data analysis - - - - - 43

CHAPTER FOUR: Data presentation and analysis

4.1 Introduction - - - - - - - 45

4.2 Characteristics of the respondents - - - - 47

4.3 Presentation of data and analysis in table - - 50

4.4 Test of hypothesis - - - - - - 54

4.5 Research questions and answer - - - - 58

4.6 Research findings - - - - - - 60

4.7 Discussion of findings - - - - - - 61

CHAPTER FIVE: Summary, Conclusions and Recommendations

5.0 Introduction - - - - - - - 63

5.1 Summary - - - - - - - - 63

5.2 Conclusion - - - - - - - - 66

5.3 Recommendations- - - - - - - 66

References - - - - - - - - 70

Appendix - - - - - - - - - 73

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

The study of the role of government agencies towards the development of small scale enterprises is quite interesting. These enterprise have a very important impact on the life of everybody in the society. Small independence business are everywhere and in every line of work, they can also be seen in every community. This business is as old as man. So virtually everything is done in life involved the element of business. Small scale enterprise constitutes an importance in todays business activities or system. The role of small scale enterprise in our economic history however, has been one of the distribution and contribution.

Although its relative importance has decline with the growth of the big business, small scale business is till major contribution to the countries economy. Business in Nigeria today is made up of both large and small business. Today small scale enterprise have to enjoy more prestige than ever before because of its vital contribution to the nations economy. So vital is small scale business. There are successful small scale enterprise operating like the manufacturing plants, retails, stores, wholesales, drugs, computers, construction firms and hundred of other type of business. 

Nigeria population was estimated to be 140 million in 2007 with about 75% of this made up of small scale enterprise operators. Lack of full study of government agencies in the development of these enterprises especially, the financial institution made it impossible to   know the size, structure and function of these small scale business to the development of the economy.

Government agencies are charged with the responsibilities among others to carryout duties and deliver utilities as may be regulated from time to time on behalf of the government for the purpose of uplifting the standard of living. Government agencies such as bank of industry (BOI) is charged with the responsibility like provision of medium and long term finances by way of equity funding, loan and lease financing, guarantees, investment in corporate bonds business development services, co-financing, working capital finance and    promotion of small scale enterprises and industries project, co-sponsoring financial institutions and small scale enterprises.

This bank of industry was formerly originated from Nigerian industrial development bank limited was established in 1964 following the reconstruction of the investment company of Nigeria limited (ICON) NIDB was set up primarily to accelerate Nigerian industrialization. 

The bank was to conceive shortly after Nigerian attains independence in 1960. The idea was to set up development financial institution to serve as a dedicated window for channeling fund from within and outside the country to the young nation states industrial sector. Economic reconstruction fund (NERFUND) in the last regime of Obasanjo administration is renamed as BOI.

1.2 STATEMENT OF THE PROBLEM

Most government agencies have undergone number of re-organization especially bank of industry (BOI) which affect their forces and activities that leads to effective performance and lack of proper control on their activities.

The most obvious problems of Bank of Industry (BOI) is how to produce or provide efficient financial resources technical assistance, security on loan given out to customer (SSE) evaluating of project that are financed which may take more time than stated at the beginning. 

Also the project time table, which depends on nature and complexity of the project, it may take one to two years sometimes longer from when project was identified to when it was commissioned.

On the part of small scale enterprises (SSE) how effective are they utilizing the services rendered to them by the bank of industry (BOI). Also are they able to cope with the policies adopted by this agencies (BOI) in obtaining loan and other services rendered such as interest rate on capital collateral facilities and the role of government.

1.3 OBJECTIVES OF THE STUDY

The aims and objectives of the study is to analyse various role played by (BOI) in developing of small scale enterprises as well as the activities of government policies such s provision of infrastructural facilities, provision for local finance, facilitating and funding industries and funding institutions like the (CIRD), (FIRO) and (SSICS) to what does the policies of government are achieved towards developing Small scale enterprise. 

It is also to analyze the various ways by which bank of industries (BOI) has contributed effectively to the development of he economy through the role played in financing and provisions of other necessary features for development of Small scale enterprise.

1.4 SIGNIFICANCE OF THE STUDY

The significance of the study is to serve a reference material to other students who may write on, make research on similar topic and serve as recommendation to bank of industry (BOI) in discharging its functions to the customers as well as the mode of rendering services to the customers small scale enterprise

1.5 RESEARCH QUESTION

Based on the subject matter, the researcher prefer to use the following questions for research findings;

1. What are the problems of small scale business?

2. What are the roles of small scale?

3.Are banks of industry the sole financier of small scale enterprise

4. Does government have favourable policies towards development of small scale enterprise

1.6 SCOPE OF THE STUDY

This study will cover the area of activities and role played by the government agency (BOI) in developing small scale enterprises.

1.7 LIMITATION OF THE STUDY

It is not an easy assignment for a student to conduct a research work without encountering two or more problems one of such problems faced by the researcher was lack of adequate information which the researcher could obtain for necessary research work as some of the organization officials formed to be very busy and required for some signatory from the department before giving out information to be used.

1.8 DEFINITION OF TERMS

Small Scale Enterprises (SSE): a type of business that is run and managed by a single person

NIDB: Nigeria Industrial Development Bank

BOI: Bank of Industry

NBCI: Nigeria Bank for Commerce and Industry

NERFUND: National Economic reconstruction Fund

FIIRD: Federal Institute of Industrial Research

SSCF: Small Scale credit fund

Interest: Certain amount that are charged on borrowed money

Capital: Money

Development: The gradual growth of some thing, so that it becomes more advanced, stronger

Community: Local country side

.

A CRITICAL ANALYSIS OF THE ROLE OF BANK OF INDUSTRY TOWARDS THE DEVELOPMENT OF SMALL AND MEDIUM SCALE ENTERPRISES IN NIGERIA



TYPE IN YOUR TOPIC AND CLICK SEARCH.






RESEARCHWAP.ORG
Researchwap.org is an online repository for free project topics and research materials, articles and custom writing of research works. We’re an online resource centre that provides a vast database for students to access numerous research project topics and materials. Researchwap.org guides and assist Postgraduate, Undergraduate and Final Year Students with well researched and quality project topics, topic ideas, research guides and project materials. We’re reliable and trustworthy, and we really understand what is called “time factor”, that is why we’ve simplified the process so that students can get their research projects ready on time. Our platform provides more educational services, such as hiring a writer, research analysis, and software for computer science research and we also seriously adhere to a timely delivery.

TESTIMONIES FROM OUR CLIENTS


Please feel free to carefully review some written and captured responses from our satisfied clients.

  • "Exceptionally outstanding. Highly recommend for all who wish to have effective and excellent project defence. Easily Accessable, Affordable, Effective and effective."

    Debby Henry George, Massachusetts Institute of Technology (MIT), Cambridge, USA.
  • "I saw this website on facebook page and I did not even bother since I was in a hurry to complete my project. But I am totally amazed that when I visited the website and saw the topic I was looking for and I decided to give a try and now I have received it within an hour after ordering the material. Am grateful guys!"

    Hilary Yusuf, United States International University Africa, Nairobi, Kenya.
  • "Researchwap.org is a website I recommend to all student and researchers within and outside the country. The web owners are doing great job and I appreciate them for that. Once again, thank you very much "researchwap.org" and God bless you and your business! ."

    Debby Henry George, Massachusetts Institute of Technology (MIT), Cambridge, USA.
  • "Great User Experience, Nice flows and Superb functionalities.The app is indeed a great tech innovation for greasing the wheels of final year, research and other pedagogical related project works. A trial would definitely convince you."

    Lamilare Valentine, Kwame Nkrumah University, Kumasi, Ghana.
  • "I love what you guys are doing, your material guided me well through my research. Thank you for helping me achieve academic success."

    Sampson, University of Nigeria, Nsukka.
  • "researchwap.com is God-sent! I got good grades in my seminar and project with the help of your service, thank you soooooo much."

    Cynthia, Akwa Ibom State University .
  • "Sorry, it was in my spam folder all along, I should have looked it up properly first. Please keep up the good work, your team is quite commited. Am grateful...I will certainly refer my friends too."

    Elizabeth, Obafemi Awolowo University
  • "Am happy the defense went well, thanks to your articles. I may not be able to express how grateful I am for all your assistance, but on my honour, I owe you guys a good number of referrals. Thank you once again."

    Ali Olanrewaju, Lagos State University.
  • "My Dear Researchwap, initially I never believed one can actually do honest business transactions with Nigerians online until i stumbled into your website. You have broken a new legacy of record as far as am concerned. Keep up the good work!"

    Willie Ekereobong, University of Port Harcourt.
  • "WOW, SO IT'S TRUE??!! I can't believe I got this quality work for just 3k...I thought it was scam ooo. I wouldn't mind if it goes for over 5k, its worth it. Thank you!"

    Theressa, Igbinedion University.
  • "I did not see my project topic on your website so I decided to call your customer care number, the attention I got was epic! I got help from the beginning to the end of my project in just 3 days, they even taught me how to defend my project and I got a 'B' at the end. Thank you so much researchwap.com, infact, I owe my graduating well today to you guys...."

    Joseph, Abia state Polytechnic.
  • "My friend told me about ResearchWap website, I doubted her until I saw her receive her full project in less than 15 miniutes, I tried mine too and got it same, right now, am telling everyone in my school about researchwap.com, no one has to suffer any more writing their project. Thank you for making life easy for me and my fellow students... Keep up the good work"

    Christiana, Landmark University .
  • "I wish I knew you guys when I wrote my first degree project, it took so much time and effort then. Now, with just a click of a button, I got my complete project in less than 15 minutes. You guys are too amazing!."

    Musa, Federal University of Technology Minna
  • "I was scared at first when I saw your website but I decided to risk my last 3k and surprisingly I got my complete project in my email box instantly. This is so nice!!!."

    Ali Obafemi, Ibrahim Badamasi Babangida University, Niger State.
  • To contribute to our success story, send us a feedback or please kindly call 2348037664978.
    Then your comment and contact will be published here also with your consent.

    Thank you for choosing researchwap.com.