MICROFINANCE: A TOOL FOR FACILITATING THE GROWTH OF SMALL AND MEDIUM ENTERPRISES IN NIGERIA (ECONOMICS PROJECT TOPICS AND MATERIALS)
ABSTRACT
This study examined the impact of Micro Finance Banks on individuals, small scale Business e.t.c. It shows the extent Micro Finance can achieve the following:
(1) Poverty eradication, if not totally but to a large extent.
(2) Increase wealth by reducing the gap between the rich and the poor on the long run.
(3) Provision and availability of funds by administration of micro credit programmes.
(4) Providing information to enhance the delivery of service my Micro Finance Institutions to Micro Entrepreneur.
(5) Marjory to provide employment to Nigeria citizens.
CHAPTER ONE
1.0 INTRODUCTION
Effectively functioning financial markets have fundamentals roles to play in fostering development. At the level of individual livelihoods, financial markets can perform very crucial functions. They can be a principle means for the poor to get financial assets; through facilitating saving, they can be of importance in reducing the vulnerability associated with uneven and unpredictable year to year changes in circumstances and they help convert illiquid assets into liquid ones in the event of emergencies without putting up viable programmes to encourage the SME’s which are the engine of growth for all economies all over the world.
The latent capacity of the poor for entrepreneurship would be significantly enhanced through the provision of micro finance services to enable them engage in economic activities and be more self-reliant in turn improve their abilities to create wealth a few number of highly effective micro finance programs have demonstrated that low-income clients especially women can manage meager resources productively provided the interest rate is relatively low.
Over the past decade, a few pioneer micro finance institutions have demonstrated not only ability of the poor but also the potential for sustain ability of financial institution that serve the poor. Full financial sustainability is reached when administrative; loan loss, inflation and financial costs are covered entirely by revenues. Savings services are needed urgently by the large number of poor people around the world to protect their income and serve as an alternative to acquisition to debt, micro finance institutions are therefore increasingly under pressure to mobilize savings to assist the poor.
