Achieving inclusive economic growth and development in Nigeria through MSMEs

Abstract

The Nigerian economy has witnessed consistent average annual growth rate of 7.4% in the last few years, however, the impact of the growth on the citizenry remains insignificant while poverty, youth restlessness, kidnapping for ransoms, terrorism and other vices are on the rise. The objective of the study was to examine why the impact of the economic growth over the years has remained insignificant and what interventions are required to change the tide. The study discovered that the oil sector which is not labour intensive accounts for over eighty (80) percent of Government revenue and a major contributor to the nation GDP. The study also discovered that the poverty level and unemployment rate among the populace require urgent and drastic measures. The impactful measures will require creation of enabling environment, provision of relevant infrastructure and adequate funding programmes that can be easily accessed. The financial system like in any other economy is essential to attaining inclusive economic growth in Nigeria and it should be more supportive to the economy by abolishing existing lending conditions that make it impractically impossible for many MSMEs which are the engine of economic development to access funds.