EVALUATING THE CONTRIBUTIONS OF SMALL AND MEDIUM ENTERPRISES EQUITY INVESTMENT SCHEME (SMEEIS) TO NIGERIAN ECONOMIC GROWTH IN THE MANUFACTURING SECTOR

For more Management projects click here

ABSTRACT


This study examined the contributions of Small and medium enterprises equity investment scheme to Nigerian economic growth in the perspective of the manufacturing sector in Nigeria SMEEIS. A perfect research into the role of SMEEIS in the manufacturing sector cannot be carried out without an in-depth analysis, contributions roles and operations of SME . This study became necessary to the  Nigerian Entrepreneurs, who have assisted and contributed to the country’s gross national product and have also played vital roles in the lives of the people.   The Nigeria economy cannot be driven by the government and public sector alone hence the need for SMEEIS. The initiative was in response to the Federal Government’s concerns and policy measures for the promotion of Small and Medium Enterprises (SMEs) as vehicles for rapid industrialization, sustainable economic development, poverty alleviation and employment generation. SMEEIS is a voluntary initiative of the bankers committee approved at its 245th meeting held on 1st December, 1999. SMEEIS is acronym for the  small and medium enterprises equity investment scheme”, which requires all banks in Nigeria to set aside annually ten percent (10%) of their profit before tax for equity investment and promotion of small and medium enterprises in Nigeria.  The objective of the study was to determine the role of small and medium enterprises equity investment scheme in the manufacturing sector and to ascertain the contribution of SMEEIS in manufacturing sector. The study used both primary and secondary sources of data collection. The statistical tools used were frequency distribution, tables, percentages and chi-square (c2)  in the analysis of data.  Test of hypotheses shows That the weaknesses and threats of SMEEIS are not greater than the strengths and opportunities; that SMEEIS has been able to contribute meaningful to manufacturing sector; That SMEEIS does not lack the skill to manage organizational changes that SMEEIS does not hinder creativity and innovation. The study  shows that lack  critical infrastructure affected the smooth running and operations of SMEEIS, The research made the following recommendations. The CBN should review its policies on SMEEIS by liaising with the National Assembly to put in place a very good legislation to support and sustain SMEEIS. For SMEEIS to be a driving force in the Nigeria economy, critical infrastructure such as good access roads, energy and good telecommunication network must be in place. Moreover, the CBN should also support the banks by putting in place a standardised policy framework on its intervention fund on bailout, restructure and refinancing of SME especially in the manufacturing sector through the use of banks of industries and AMCON to purchase ailing credits that are given to the manufacturing sector from banks at a concessionary rate. 

TABLE OF CONTENTS

Abstract
List of Figures
List of Tables

CHAPTER ONE:  INTRODUCTION
1.1       Background of the Study
1.2       Statement of Problem
1.3       Objectives of the Study
1.4       Research Questions
1.5       Research Hypotheses
1.6       Significance of the study
1.7       Scope of the Study
1.8       Limitations of the Study
1.9       Definition of Terms
References

CHAPTER TWO: REVIEW OF RELATED LITERATURE
2.1       Introduction
2.2       Conceptual Frame Work
2.3       Theoretical Frame Work
2.4       Empirical Review
2.5       Gap in Literature
2.6       SMEEIS Operations Investment by Banks
2.7       Withdrawal of Uninvested SMEEIS Funds by CBN
2.8       SMEEIS Investment Update Total Funds Set Aside Since Inception of SMEEIS
2.9       The Way Forward
References

CHAPTER THREE:            RESEARCH METHODOLOGY
3.1       Introduction
3.2       Research Design
3.3       Area of Study
3.4       Source of Data
3.5       Tools for Data Collection
3.6       Population
3.7       Sampling Procedure
3.8       Questionnaire Design and Administration
3.9       Pilot Survey
3.10     Data Treatment Technique(s)
3.11     Decision Rule

CHAPTER FOUR: DATA PRESENTSTION AND ANALYSIS
4.1       Data Presentation and Analysis
4.2       Test of Hypotheses

CHAPTER FIVE:    SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
 5.1      Summary
5.2       Conclusions
5.3       Recommendations 

CHAPTER ONE
INTRODUCTION
1.1     BACKGROUND OF THE STUDY
The Small and Medium Enterprises Equity Investment Scheme (SMEEIS) is an initiative of the bankers’ committee comprising Managing Directors and Chief Executives of Banking Institutions in Nigeria, and it requires all licensed banks in the country to set aside 10% of their Profit Before Tax (PBT) annually for Small and Medium Enterprises
 The core thinking behind the scheme is the recognition of the need to assist the manufacturing sector, which is acknowledged as the veritable vehicle  for economic growth by meeting their financial requirements through private equity participation. According to Ademola (2010),  “despite the widely acknowledged role of small and medium scale enterprises in fostering economic growth and development, they have continued to face a variety of constraints”. some of the challenges they face are inadequate infrastructural facilities, shortage of skilled manpower, high rate of enterprise mortality, low level of entrepreneurial skills, lack of conducive operating environment, restricted market access and cumbersome regulatory requirements for those that are quoted on the Nigerian Stock Exchange.
        

SMEs are vital to economic growth and development in both the industrialised and developing countries, by playing a key role in creating jobs, improving living standards and contributing to the economy.

According to the Oteh (2010A), the capital market should be seen as an important alternative source of finance for SMEs, through equity debt financing, and venture capital funds. Equity financing is a strategy for obtaining capital that involves selling a partial interest in the company to investors. The equity or ownership or ownership position that investors receive in exchange for their funds usually take the form of stock in the company (Oteh, 2010B). This provides small business owners with a broader scope in terms of financing, as they gain access to multiple funding sources.


Equity financing does not involve a direct obligation to repay the funds.  Instead, equity investors become part-owners and partners in the business, and thus are able to exercise some degree of control over how it is run. Venture capital firms can be key financing vehicles for SMES. Venture capital funds value the possibility of monitoring the performance of the business, giving advice when needed and following-up on such advice. Capital markets provide important exit opportunities for venture capital firms, thus enabling them to put their capital at risk to finance other SME opportunities. Venture capital has the potential of offering a valuable source of finance, complementing the more traditional credit finance provided by commercial banks.....

For more Management projects click here
___________________________________________________________________________
This is a Postgraduate Thesis and the complete research material plus questionnaire and references can be obtained at an affordable price of N3,000 within Nigeria or its equivalent in other currencies.


INSTRUCTION ON HOW TO GET THE COMPLETE PROJECT MATERIAL

Kindly pay/transfer a total sum of N3,000 into any of our Bank Accounts listed below:
·         Diamond Bank Account:
A/C Name:      Haastrup Francis
A/C No.:         0096144450

·         GTBank Account:
A/C Name:      Haastrup Francis
A/C No.:         0029938679

After payment, send your desired Project Topic, Depositor’s Name, and your Active E-Mail Address to which the material would be sent for downloading (you can request for a downloading link if you don’t have an active email address) to +2348074521866 or +2348066484965. You can as well give us a direct phone call if you wish to. Projects materials are sent in Microsoft format to your mail within 30 Minutes once payment is confirmed. 

--------------------------------------------------------
N/B:    By ordering for our material means you have read and accepted our Terms and Conditions


Terms of Use: This is an academic paper. Students should NOT copy our materials word to word, as we DO NOT encourage Plagiarism. Only use as guide in developing your original research work.

Delivery Assurance
We are trustworthy and can never SCAM you. Our success story is based on the love and fear for God plus constant referrals from our clients who have benefited from our site. We deliver project materials to your Email address within 15-30 Minutes depending on how fast your payment is acknowledged by us.

Quality Assurance
All research projects, Research Term Papers and Essays on this site are well researched, supervised and approved by lecturers who are intellectuals in their various fields of study.
Share:

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.

Search for your topic here

See full list of Project Topics under your Department Here!

Featured Post

Article: How to Write a Research Proposal

Most students and beginning researchers do not fully understand what a research proposal means, nor do they understand ...

Popular Posts