Appraisal of government funding schemes on the development of small and medium enterprises in Nigeria: a study of Enugu state, Obiageri Ugwu-oju, Vincent Onodugo and Chigozie Mbah
Obiageri Monica Ugwu-oju, A. Vincent Onodugo
Department of Management
University of Nigeria - Enugu Campus, Enugu
Chigozie Paulinus Mbah
Enugu state University of Science and Technology, Enugu
Purpose: This paper aims to examine the effectiveness of government funding schemes for small and medium enterprises (SMEs) in Nigeria.
Design/methodology/approach: The survey method of inquiry was adopted, wherein a structured questionnaire was used to generate data. Using Guilford and Flruchter (1973) formula, a sample size of 276 was derived from a population of 890 registered SMEs. Data analysis was conducted using SPSS version 20.0 tools.
Findings: The results of the analysis reveal that a significant number of SMEs were aware of government funding schemes, but insignificant number succeeded in accessing the funds. It further reveals that the nature and conditionality of the funds and management capacity of SMEs were major hindrances to the effectiveness of the funding schemes.
Originality/value: The inquiry is completely original and has the potency of influencing policy formulation and implementation in the area of industrial funding.
Keywords: Funding; Capacity-building; Government; Bank; SMEs.
Citation: Ugwu-oju, O.M., Onodugo, A.V. and Mbah, C.P. (2020), "Appraisal of government funding schemes on the development of small and medium enterprises in Nigeria: a study of Enugu state", World Journal of Entrepreneurship, Management and Sustainable Development, Vol. 16 No. 3, pp. 165-179. https://doi.org/10.1108/WJEMSD-08-2019-0067