FINANCING SMALL AND MEDIUM SCALE ENTERPRISES (SMES) BY COMMERCIAL BANKS IN NIGERIA. A CASE STUDY OF UNION BANK OF NIGERIA.

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FINANCING SMALL AND MEDIUM SCALE ENTERPRISES (SMES) BY COMMERCIAL BANKS IN NIGERIA. A CASE STUDY OF UNION BANK OF NIGERIA.

ABSTRACT

The critical causes on why financing small and medium scale industries

by commercial banks in Nigeria have not been very effective were evaluated. Not

only are the SMEs starved with financial back-up, they are also faced with other

external problems such as high interest rates, inconsistency in government

industrial policies, lack of infrastructural facilities and internally; poor

management practices, high rate of business failure, poor accounting standards,

shortage of skilled manpower and financial indiscipline.

In view of these numerous problems, this research work was conducted so

as to come out with solutions as this will pave way for banks to have more

confidence in financing these SMEs efficiently and effectively as against hitherto ,

their stringent lending policies and the risk averse behavior of funding. This has

become necessary as it is a well known fact that the survival, growth and

development of SMEs of any country depend largely on funding with other

factors put in place.

In the light of the findings in this research work, some recommendations

and suggestions were made to the government, commercial banks and the small

and medium scale entrepreneurs themselves which if implemented will not only

sustain the survival, growth and development of this sector, it will also provide

employment opportunities and improve the economic situation of Nigeria.

TABLE OF CONTENT

Title page- – – – – – – – – i

Approval page – – – – – – – -ii

Dedication – – – – – – – – -iii

Acknowledgement – – – – – – – -iv

Abstract – – – – – – – – – -v

Table of content – – – – – – – -vi

CHAPTER ONE

INTRODUCTION – – – – – – – -1

1.0 Background of the study – – – – -1

1.1 Statement of the problem – – – – -5

1.2 Purpose of the study – – – – – -6

1.3 Significance of the study – – – – -8

1.4 Research questions – – – – – -9

1.5 Scope of the study – – – – – – -10

CHAPTER TWO

LITERATURE REVIEW – – – – – – -11

CHAPTER THREE

Research methodology – – – – – – -39

Design of study – – – – – – – -40

CHAPTER FOUR

Presentation, analysis and interpretation of data – -48

CHAPTER FIVE

Summary of findings – – – – – – -60

Conclusion – – – – – – – – -61

Recommendations – – – – – – – -62

Suggestions for further research – – – – -64

References – – – – – – – – -65

Appendix I – – – – — – – – -68

Questionnaire. – – – – – – – -69

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