Small and Medium Enterprises (SMEs): Key to Socio-Economic Development of Nigeria

Abstract

In Nigeria, as in many other developing and emerging economies, Small and Medium Enterprises (SMEs) contribute to their socio-economic development and growth hence, successive governments have invested resources in intervention programs aimed at stimulating the sector to achieve sustainable development. The main objectives of the study are to; review the role of SMEs to the socio-economic development of Nigeria, identify current government efforts and challenges to stimulating SMEs performance especially as it relates to wealth creation and employment generation. The study found that; SMEs play a key role in socio economic development of the country especially in the area of employment generation and wealth creation. However, there are prevailing economic and political conditions that have not given room for SMEs to thrive, as evidenced in the internal and external challenging factors they are currently facing in the country despite the enormous government intervention initiatives. It is recommended that government should reform the implementation of these initiatives, ensure programmes continuity due to change on government, fight corruption and insecurity, improve on the business environment and evolve youth re-orientation programme to cause them to embrace entrepreneurship. The methodology adopted for this work is narrative textual case study.