IMPACT OF MICROFINANCE BANKS ON SMALL AND MEDIUM SCALE BUSINESS PERFORMANCE
Authors:
Dr. Karimu Ishola
Abstract:
This was a descriptive survey study mounted to identify the impact of Microfinance Banks on Small Scale Business performance in Oyo State, Nigeria. Two research instruments were designed and two hypotheses formulated for testing. A population of ninety(90) respondents was used. Pearson’s product-moment co-relational coefficient was applied in the analysis. The results showed that while there was a significant and positive relationship between micro-finance Bank and socio-economic development, there is also a significant but negative relationship between Micro-finance Bank and Small Scale Business performance. The study concluded that despite the bank limited and other various challenges that may exist within the system which might possibly account for the present performance, the micro-finance bank still has a role to play at delivering small scale business within the mirage of the present predicament. The study recommended that there is a need for additional measure towards value for the poor, in the form of additional facility package and rescheduling of payment periods to meet the requirement of micro business owners.