THE PROBLEM AND PROSPECT OF FINANCING SMALL SCALE INDUSTRIES IN NIGERIA
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ABSTRACT
This study examines the problems associated with financing Small scale industries in Nigeria. The study adopted a descriptive survey. The choice of the two areas was guided by the fact that they have large clusters of small and medium enterprises in the state. Questionnaires were administered on the management of Bencos business. The data generated from the survey of the study were tested using the Chi- Square (X2 ). Simple tabulation was used to present the survey findings; percentage distribution of the respondents was equally presented. The study reveals that lack of information about the activities of micro finance organisations among SSIs( small scale industries) specifically, in respect of its relevance to access long term finance is still very low. The few SSIs that are aware fear losing control of their companies to wealthy shareholders. The researcher recommends that the regulatory authorities should formulate policies that would engender a more investment friendly climate particularly in the areas of infrastructure, interest rate, inflation, etc. to make procurement of long term finance more attractive to investors.
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