ROLE OF COMMERCIAL BANKS IN FINANCING SMALL SCALE INDUSTRIES IN NIGERIA (A CASE STUDY OF FIRST BANK OF NIGERIA PLC)

Abstract

An appraisal Of Commercial Banks in Financial Small Scale Industry in Nigeria. A case study of First bank of Nigeria plc. This study is to ascertain the extent to which commercial banks have helped to finance small scale industries in Sokoto. To achieve this study adopted a survey research which employed the use of simple random sampling technique was employed and SMEs where selected which constitute the sample size of the research. Structured questionnaire was designed to facilitate the collection of the relevant data which was used for the analysis. Descriptive statistics which involves simple percentage and chi-square. The findings indicate that the operations of commercial banks towards SMEs have grown phenomenally in the last 3 years, driven largely by expanding informal sector activities. The study also reveals the challenges faced by SMEs, which has been addressed in this research. Commercial banks traditional lend to medium and large enterprise, which are judged to be credit worthy. They avoid doing business with small and medium scale industry because the associated