FINDINGS, POLICY RECOMMENDATION AND CONCLUSION OF MICROFINANCE BANKS IN NSSUKA - NIGERIA

Summary of Finding
            At the end of the analysis in chapter four of this work, so many inferences were drawn. Based on the relevance of microfinance banks to the development of SMEs in Nsukka, the hypothesis was rejected meaning that, most of the SMEs don’t even know that microfinance banks exist in Nsukka.
            secondly, another hypothesis was tested to know whether the existence of SMEs has contributed positively to the Nigeria economy. at the end the hypothesis was rejected meaning that, the SMEs contributed to the economy has not been much as expected due to some bottleneck like finance, infrastructure, power etc. government has neglected the sector for so
long.
            Finally, hypothesis three tried to know if collateral security is a prerequisite for granting loan to SMEs. at the end, the hypothesis was rejected meaning that collateral security is not a prerequisite for obtaining loan from microfinance banks.

           Policy Recommendation
We recommend that government policies toward small and medium enterprise (SMEs) via microfinance banks should be taken seriously. That is microfinance banks should be able to sell their services product to SMEs owners. As it was observed in the study that most of the SMEs owners don’t know microfinance banks exist in Nsukka. Proper marketing must be carried out by the microfinance banks so as to inform the uninformed SMEs owners that they can borrow funds with the banks without tangible collateral and attend workshop on skill acquisition and managerial training. 

            Government should provide enable environment for those microfinance banks and SMEs to thrive through the provision of infrastructure, financial assistance, power, property right etc microfinance banks on their side should provide loans at cheaper rate. With the recommendation above, I believe if properly implemented, SMEs would not only smile because of the profit they will get, it would also add to the GDP of the country. The statement “SMEs are the engine room for the developing countries economy to growth” will be achieve.

           Conclusion
In conclusion more studies of this kind should be conducted in order to know how best to assist small and medium scale enterprise they have put in place whether it get to SMEs or some sets of “cabal” are sitting on those funds. Government also should look into the tax structure that distorts incentives and discriminate against the small and medium scale-enterprise in order to prove their competitive position in the light of stiff competition from large enterprise.
            Finally, SME owners should equip themselves with the latest techniques patterning their business in order to withstand the competition within their domain.

REFERENCES                    
Adebusuyi, B. S. (1997). Performance Evaluation of Small Medium Enterprises (smes) in Nigeria. Bullion vol. 21 No 4, cbn.

Ande, J. O. and R. B. Fat (1990): “Problem of Financing Small and Medium Size Business by Banks” first review; First Bank Nigeria plc. Lagos.

Anyanwu, J. C. and Oluremi, O. (1991): “financing small and medium enterprises in Nigeria; Lesson from International Experience”. Conference proceedings o the Management of Small Medium Enterprises in Nigeria, university of Lagos, Dec. 9-11, 1991.

CBN (2003), (SMEIEIS) “Publication in small and medium scale industries, equity investment scheme.

Hallberg, Kristin (2000), “A Market-Oriented Strategy or Small and Medium-Scale Enterprises”, discussion paper no 40 international finance corporation, the World Bank

Manu, g. (1998), “Enterprises Development in Africa – Strategies For Impact And Growth; Small Enterprises Development Vol. 7, No 4, P. 4 -13
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