MICROFINANCE BANKS: ANTIDOTE TO POVERTY ALLEVIATION IN NIGERIA: CASE STUDY OF EKITI STATE, NIGERIA
Abstract
This study aimed at investigating the roles microfinance bank plays in alleviating poverty in Nigeria beaming the search light on Ekiti State. Microcredit firms provides small loans to poor people and small enterprises, this study therefore provides an overview of the role and performance of micro finance institution in alleviating poverty at different levels in Nigeria. The study made use of structured questionnaires administered to a sample of 150 randomly selected staffs of ten microfinance institutions in Ekiti state and some people that have benefited from the program in the service and cottage industries. The Multiple Linear Regression models adopted for the study reveals that the effectiveness of microfinance bank and other explanatory variables are positively and significantly influencing poverty alleviation. Microfinance institution are now being considered as one of the most important and effective mechanisms for poverty alleviation through which precious information on ways to improve the health, education, legal rights, sanitation and other living standards which are of relevant concerns to the poor can be disseminated. It is hereby, recommended that the government should intensify her efforts in promoting, monitoring and adequately supervising the micro finance bank activities so as to reduce poverty in Nigeria.
JEL: E50, E51, G21
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DOI: http://dx.doi.org/10.46827/ejefr.v0i0.362
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