ABSTRACT

An investigation into small and medium scale industries and the activities of NACCIMA in the development of small and medium scale industries in Nigeria is an interesting topic. The population for this study comprises the officials of NACCIMA Enugu. Information was gathered using questionnaires distributed to fifty employees/ officials of which only forty were returned. The interview method was inclusively used to gather information for this work. In this project work all hypothesis were advanced. Hypothesis one states are  follow.

NACCIMA has helped in the development of small and medium scale industries as the null while otherwise is its alternative hypothesis. Null hypothesis other states that small and medium scale industries have line fitted from the activities of NACCIMA and its alternative is the contrary.

The others null hypothesis states that because of NACCIMA activities, small and medium scale industries have bright futures while it  opposite is the alternative hypothesis others.

The chi-square (x2) method or techniques was employed in testing the all the hypothesis formulated, description method was used for based on the findings were drawn and made at the end.

CHAPTER ONE INTRODUCTION

The issue of small and medium scale industries dates back to when people started producing more products than they needed. As the need for industrialization and self employment starts arising in Nigeria as a result of the federal government inability to provide employment for the teeming population the need for private individuals to establish self owned small and medium scale industries also arose. In this vein, people started raising their subsistence organizations to the status of small and medium scale industries so as to private the products therefore to the market.

The existence of small and medium scale industries in Nigeria has, in no small way, contributed to the growth and development of the Nigeria economy in many ways. It provides employment and also help to increase the  gross domestic product of the nation to mention but a dew.

The need for the development of small and medium scale industries in Nigeria cannot be over emphasized and this is what the national Association of

1.1     BACKGROUND OF THE STUDY.

Small and Medium Scale Industries constitute essential ingredients in the lubrication and development of any economy. In Nigeria, the story makes no remarkable difference as Small and Medium Scale Industries dominate the economy. Government over the years has formulated a number of policies aimed at developing Small and Medium Scale Industries. While most policies actually failed due to poor implementation, others however, succeeded. Efforts have been made in the past to identify the role of Small and Medium Scale Industries to the development of Nigeria’s economy, its problems and prospects which created a vacuum on the role of government and other financial institutions in the development of Small and Medium Scale Industries.

It is this vacuum created by previous researchers that prompted this write up. It is therefore the thrust of this paper to identify the role of government and other financial institutions particularly micro finance institutions in the development of small and medium scale industries in Nigeria. Relevant literatures were reviewed to bring out salient issues on the subject matter of this paper. The chief source of information for this write up is secondary method of data collection. It was discovered that financial institutions provide the necessary financial lubricant that facilitate the development of Small and Medium Scale Industries, but, a lot still need to be done by the government in terms of policy formulation in order to complement the efforts of financial institutions. This paper recommends among others, further establishment of micro finance institutions to serve the grass root financial needs, sensitization of the general public on how to access funds for SMEs development, public private partnership should also be Arabian Journal of Business and Management Review (OMAN Chapter) Vol. 1, No.7; February 2012 17 encouraged, the financial muscle of the financial institutions must be geared up to meet the financial need of SMEs in their respective locality.