Potential of Small and Medium Enterprises Growth: Role of Internal and External Factors of Commercial Banks’ Credit Accessibility
The common factors determining Commercial banks’ lending to SMEs are internal and external factors. This study assessed the combined effect of these two factors that determine the commercial banks’ credit accessibility and SMEs’ growth in Nigeria. Data from 1990 to 2023 were used to evaluate the...
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| Format: | Article |
| Language: | English English |
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INTI International University
2024
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| Online Access: | http://eprints.intimal.edu.my/2036/ http://eprints.intimal.edu.my/2036/1/jobss2024_12.pdf http://eprints.intimal.edu.my/2036/2/577 |
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| author | Abolaji Oladimeji, Odumesi Timilehin Olasoji, Olubiyi Kowo Solomon, Akpoviroro |
| author_facet | Abolaji Oladimeji, Odumesi Timilehin Olasoji, Olubiyi Kowo Solomon, Akpoviroro |
| author_sort | Abolaji Oladimeji, Odumesi |
| building | INTI Institutional Repository |
| collection | Online Access |
| description | The common factors determining Commercial banks’ lending to SMEs are internal and external
factors. This study assessed the combined effect of these two factors that determine the commercial
banks’ credit accessibility and SMEs’ growth in Nigeria. Data from 1990 to 2023 were used to
evaluate the hypothesis. The outcome demonstrates that internal factors of commercial bank
factors on credit accessibility to SMEs was 0.039110 and statistically significant at the 5% level
(p-value = 0.0254). The outcome suggests that internal factors of commercial bank determinants
on the availability of credit to SMEs play a significant impact in the expansion of SMEs in Nigeria.
At the 5 percent level, the external influence of commercial banks on SMEs' access to credit was
-0.014003 and statistically insignificant (p-value = 0.2757). The results will substantially aid in
designing and implementing monetary policy with regard to the cash reserve requirement. It also
conveys to SMEs the significance of cash reserve requirement in improving loan accessibility in
Nigeria. As a result, the paper recommends that monetary policy be continually improved to favour
SMEs because doing so will facilitate their expansion. |
| first_indexed | 2025-11-14T11:58:32Z |
| format | Article |
| id | intimal-2036 |
| institution | INTI International University |
| institution_category | Local University |
| language | English English |
| last_indexed | 2025-11-14T11:58:32Z |
| publishDate | 2024 |
| publisher | INTI International University |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | intimal-20362024-11-20T08:13:35Z http://eprints.intimal.edu.my/2036/ Potential of Small and Medium Enterprises Growth: Role of Internal and External Factors of Commercial Banks’ Credit Accessibility Abolaji Oladimeji, Odumesi Timilehin Olasoji, Olubiyi Kowo Solomon, Akpoviroro H Social Sciences (General) HD28 Management. Industrial Management HG Finance The common factors determining Commercial banks’ lending to SMEs are internal and external factors. This study assessed the combined effect of these two factors that determine the commercial banks’ credit accessibility and SMEs’ growth in Nigeria. Data from 1990 to 2023 were used to evaluate the hypothesis. The outcome demonstrates that internal factors of commercial bank factors on credit accessibility to SMEs was 0.039110 and statistically significant at the 5% level (p-value = 0.0254). The outcome suggests that internal factors of commercial bank determinants on the availability of credit to SMEs play a significant impact in the expansion of SMEs in Nigeria. At the 5 percent level, the external influence of commercial banks on SMEs' access to credit was -0.014003 and statistically insignificant (p-value = 0.2757). The results will substantially aid in designing and implementing monetary policy with regard to the cash reserve requirement. It also conveys to SMEs the significance of cash reserve requirement in improving loan accessibility in Nigeria. As a result, the paper recommends that monetary policy be continually improved to favour SMEs because doing so will facilitate their expansion. INTI International University 2024-11 Article PeerReviewed text en cc_by_4 http://eprints.intimal.edu.my/2036/1/jobss2024_12.pdf text en cc_by_4 http://eprints.intimal.edu.my/2036/2/577 Abolaji Oladimeji, Odumesi and Timilehin Olasoji, Olubiyi and Kowo Solomon, Akpoviroro (2024) Potential of Small and Medium Enterprises Growth: Role of Internal and External Factors of Commercial Banks’ Credit Accessibility. Journal of Business and Social Sciences, 2024 (12). pp. 1-19. ISSN 2805-5187 http://ipublishing.intimal.edu.my/jobss.html |
| spellingShingle | H Social Sciences (General) HD28 Management. Industrial Management HG Finance Abolaji Oladimeji, Odumesi Timilehin Olasoji, Olubiyi Kowo Solomon, Akpoviroro Potential of Small and Medium Enterprises Growth: Role of Internal and External Factors of Commercial Banks’ Credit Accessibility |
| title | Potential of Small and Medium Enterprises Growth: Role of Internal and
External Factors of Commercial Banks’ Credit Accessibility |
| title_full | Potential of Small and Medium Enterprises Growth: Role of Internal and
External Factors of Commercial Banks’ Credit Accessibility |
| title_fullStr | Potential of Small and Medium Enterprises Growth: Role of Internal and
External Factors of Commercial Banks’ Credit Accessibility |
| title_full_unstemmed | Potential of Small and Medium Enterprises Growth: Role of Internal and
External Factors of Commercial Banks’ Credit Accessibility |
| title_short | Potential of Small and Medium Enterprises Growth: Role of Internal and
External Factors of Commercial Banks’ Credit Accessibility |
| title_sort | potential of small and medium enterprises growth: role of internal and
external factors of commercial banks’ credit accessibility |
| topic | H Social Sciences (General) HD28 Management. Industrial Management HG Finance |
| url | http://eprints.intimal.edu.my/2036/ http://eprints.intimal.edu.my/2036/ http://eprints.intimal.edu.my/2036/1/jobss2024_12.pdf http://eprints.intimal.edu.my/2036/2/577 |