THE IMPACT OF CREDIT FROM DEPOSIT MONEY BANK ON THE DEVELOPMENT OF SMALL SCALE ENTERPRISES IN DELTA STATE (A CASE STUDY OF FIRST BANK ASABA)

This study examined the impact of credit from Deposit Money Bank son the development of small-scale enterprises in Delta State, using First Bank Plc, Asaba as a case study. The general objective was to assess how bank credit influences business growth, while the specific objectives focused on evaluating its benefits, identifying challenges faced by SSEs in accessing credit, and examining how supportive bank loan policies are. A descriptive survey research design was adopted, and the entire population of 62 staff at First Bank Plc, Asaba was used as the sample. Data were collected using a structured 5- point Likert scale questionnaire. Descriptive statistics (frequencies and percentages) were used for data analysis, while the chi-square (χ²) test was used to test the hypotheses at a 5% level of significance. Findings revealed that credit from Deposit Money Banks significantly enhances SME growth by improving productivity, business expansion, and profitability. However, small business owners still face serious challenges, particularly high collateral requirements and interest rates, which hinder access to credit. Despite these challenges, the study found that First Bank has relatively supportive loan policies and an efficient approval process. The study recommends lowering collateral requirements, reducing interest rates, and designing SME-focused loan products to improve credit accessibility and foster small business growth.