Esther Ijeoma Awuzie (PhD)


This study examined the effect of financial deepening on the growth of micro, small and medium enterprises (MSME) in Makurdi Metropolis Benue State Nigeria. The population of the study was 235 registered MSME from which Taro Yamane formula was used to determine the sample size of 148. Data were sourced through the use of a well structured questionnaire and were analyzed using simple percentages. Regression model were used to examine the effect of financial deepening on growth of MSME while the t-statistics and probability value was also used to test the stated hypotheses. The result of the regression analysis shows that access to credit and financial innovation has strong positive influence on the growth of MSME (3.620>1.96, p.000<0.05 and 2.229>1.96, p.027<0.05). High financial sector regulation was found to hinder access to finance, hence hinder growth of MSME (0.173<1.1.96). It was concluded that financial deepening has effect on the growth of MSME with access to finance having the highest influence. The study recommended among others for establishment of subsidized credit for MSME.


Financial Deepening, Growth, Micro, Small and Medium-sized Enterprises, Benue, Nigeria.

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