IMPACT OF SMALL-SCALE ENTERPRISES ON GROWTH AND DEVELOPMENT OF A NATION’S ECONOMY

This Project is titled “The Impact of small and medium size industries on the economic Abstract development in Jos South Local Government Area of Plateau State”. The objective of the study is to examine the impact of small and medium enterprises on economic development in Plateau State. The research methodology for this study is descriptive research design. For the purpose of the study, small and medium scale enterprise Jos formed the target population from where a sample size of ninety (90) SMEs were randomly isolated and investigated. Data collected were organized and presented in tabular form, while analysis was undertaken by the use of regression analysis. Descriptive and inferential tools were used in the analysis of collected data. Descriptive tools such as tables, chart and percentage were used while formulated hypotheses were tested using simple regression analysis in SPSS version 27 based on model specification of the study.. From the findings concluded that, Technology increase the efficiency of the systems, products and services, assisted SMEs operation, enables a faster, wider and more efficient means of communication. The study revealed that government does not guarantee long-term loans to SMEs. Interest rates charged by microfinance banks are relatively high and unsustainable for most SMEs. Exorbitant interest rate causes declining SMEs growth. Entrepreneurial Skills Contributes to the development of SMEs and improved problem solving skills. The study concluded that there is significant impact of technological development, lending rate, entrepreneurial skills and retained earnings on small and medium scale on the economic development of Jos South local Government. The study recommended that, Government should also encourage the growth of small business by giving them the necessary assistance as regards to fund raising and equally advice them on how to utilize it effectively.