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Micro-Scale Enterprises and Poverty Reduction in Makurdi Local Government Area of Benue State

Author

Listed:
  • Blessing Mngunengen Vehe

    (Benue State University, Makurdi, Nigeria)

  • Odike Abraham Ijuo

    (Benue State University, Makurdi, Nigeria)

  • Enoch Terlumun Iortyom

    (Ernest Bai Koroma University of Science and Technology, Magburaka, Republic of Sierra Leone)

Abstract

This study investigated the impact of micro-scale enterprises on poverty reduction in Makurdi Local Government Area of Benue State, Nigeria. The study adopted a stratified sampling procedure in which a total of 247 sample size was drawn from population of 3325. Data were collected with the use of structured questionnaire, analyzed with the use of logistic regression. It was found that micro-scale enterprises contribute significantly to poverty reduction in Benue State. Specifically, it was found that operating a micro-scale business, and having access to medical facilities reduce the probability of being poor by 2.19 and 2.16 respectively, while more income from micro-scale businesses reduce the probability of being poor by about 0.002. The study therefore, recommended among other things that strategies targeted at promoting the growth of micro-scale businesses such as ensuring steady supply of power, reduction of levies, promotion of consumption of locally made goods, provision of zero or low interest loans required for a start up or expansion of micro-scale businesses as well as providing medical facilities (given that health is wealth) should be developed and promoted by government, groups and concerned individuals in order to fully harness the potential of micro-scale enterprises in the state.

Suggested Citation

  • Blessing Mngunengen Vehe & Odike Abraham Ijuo & Enoch Terlumun Iortyom, 2020. "Micro-Scale Enterprises and Poverty Reduction in Makurdi Local Government Area of Benue State," International Journal of Humanities, Arts and Social Sciences, Dr. Mohammad Hamad Al-khresheh, vol. 6(6), pages 223-233.
    • Handle: RePEc:apa:ijhass:2020:p:223-233
    DOI: 10.20469/ijhss.6.20001-6
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    References listed on IDEAS

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    1. Dalila Cervantes-Godoy & Joe Dewbre, 2010. "Economic Importance of Agriculture for Poverty Reduction," OECD Food, Agriculture and Fisheries Papers 23, OECD Publishing.
    2. Solomon Akpoviroro Kowo & Olusegun Adeleke Oba Adenuga & Olalekan Owotutu Sabitu, 2019. "The role of SMEs development on poverty alleviation in Nigeria," Post-Print hal-02188849, HAL.
    3. Jonathan Haughton & Shahidur R. Khandker, 2009. "Handbook on Poverty and Inequality," World Bank Publications - Books, The World Bank Group, number 11985, December.
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