Determinants of Financial Inclusion among Micro, Small and Medium Enterprises in Southwest, Nigeria

Author(s)

Morounke Adeseye Ilori , Philip Segun Olowolaju , Modupe Olayinka Ajayi , Muftau Adesina Abayomi , David Babafemi Ilori ,

Download Full PDF Pages: 01-09 | Views: 142 | Downloads: 51 | DOI: 10.5281/zenodo.8427015

Volume 12 - September 2023 (09)

Abstract

The study assessed the determinants of financial inclusion among Micro, Small and Medium Enterprises (MSMEs) in Southwest, Nigeria. It adopted the Ex post facto research design. The population of this study comprised MSMEs as well as Deposits Money Banks (DMBs) in Southwest, Nigeria. Using Cochran’s formula, the sample sizes obtained were 666 and 498 for MSMEs and DMBs respectively. Multistage sampling procedure was adopted in the study, while data were collected through two structured questionnaires. The data were analysed using descriptive statistics such as the mean ranking technique, relative frequency tables, and construct relative important index (CRII). The study revealed that out of the three main constructs representing the determinants of financial inclusion, access to financial services ranked first, followed by quality and usage of financial services respectively. The study concludes that access to financial services is a sine qua non to quality and usage of financial services. Finally, the study recommends that DMBs should ensure service quality management, deploy more automated teller machines and point of sale terminals, as well as make the procedures for  account opening, accessing loan facilities and other financial services more customer-friendly to MSMEs in the study area

Keywords

Financial Inclusion, Micro, Small and Medium Enterprises, Access, Usage and Quality of financial services, Southwest, Nigeria

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