International Journal of Small and Medium Enterprises https://www.cribfb.com/journal/index.php/ijsmes Centre for Research on Islamic Banking & Finance and Business en-US International Journal of Small and Medium Enterprises 2576-7712 Role of Local Government and MSMEs Performance: The Case of Ethiopia https://www.cribfb.com/journal/index.php/ijsmes/article/view/511 <p>Micro, small and medium enterprises (MSMEs) are one of the important sectors in both developed and developing countries contributing to economic growth and poverty alleviation. They play a significantly important role in contributing to economic growth, with a major share of employment in Ethiopia. However, in purposively selected three Urban Administrations under the study, the sectors are not playing their essentially expected roles. This study, therefore, examined the role of local government in supporting MSMEs performance. The study employed a mixed method approach using both quantitative and qualitative data. Data required for the study are gathered from secondary and primary sources. Secondary source data are gathered from books, journals, and related earlier research outputs as well as from the regional, zonal and administrative towns archival. Primary data are gathered from extensive field works through a questionnaire survey, key informant interviews, and personal observations by employing structured and unstructured questionnaires. The sample population is identified using stratified sampling design, thus, 541 samples are identified. Furthermore, 22 enterprise owners/managers were identified purposively as a target sample for key informant interviews. Document analysis, narrative analysis, and descriptive statistics have been used to analyze the data. The findings of the study indicated that, low level of employment and capital generation of MSMEs due to ineffective local government support. This study is important to attract investment and enhance the performance of the businesses in the local area. In general, this study will be significant to enhance the economic growth of the region by creating employment to reduce the heavy burden placed on larger cities by accommodating the ever-increasing population of the region. Therefore, local government institutions should create a conducive local business environment to attract more investment and promote the existing firms’ performance.</p> <p><strong>&nbsp;</strong></p> Kataro Galasso Gamo Ramakrishna Gollagari ##submission.copyrightStatement## http://creativecommons.org/licenses/by/4.0 2020-03-12 2020-03-12 3 1 1 17 10.46281/ijsmes.v3i1.511 Credit Risk Management and Entrepreneurship Development in Nigeria: A Case Study of Small and Medium Scale Industries in Ondo State https://www.cribfb.com/journal/index.php/ijsmes/article/view/512 <p>The paper summarizes the arguments and counterarguments within the scientific discussion on credit risk management and entrepreneurship development in Nigeria with focus on small and medium scale industries in Ondo State. The objective of the study is to examine the effect of credit risk management on entrepreneurship development. The study adopted the use of descriptive statistics and regression analysis method to test the hypothesis formulated. The results indicated that entrepreneurship development is being hampered by ineffective credit risk management. The findings has shown that Small Scale Enterprise still suffers greatly from inadequate policy on fund raising, lack of risk management personnel, lack of credit advisory unit in loan houses and Inability to determine appropriate source of funding which significantly affects their level of development. The findings of this study have also found out that the Nigerian markets are filled with numerous business opportunities. Based on the findings, it was recommended that increased government support, uninterrupted power supply and communication link, provision of skilled manpower and computer wizard in operation of payment system, collaboration among banks, provision of adequate security and fight against corruption would assists and improve the growth and development of entrepreneurship in Nigeria.</p> <p><strong>&nbsp;</strong></p> Ogunyemi Joseph Kayode Mufutau Akanmu Popoola Adewole Joseph Adeyinka ##submission.copyrightStatement## http://creativecommons.org/licenses/by/4.0 2020-03-12 2020-03-12 3 1 18 33 10.46281/ijsmes.v3i1.512 Effect of Self -Efficacy and Distributive Justice on Employees’ Performance in Federal Capital Territory Area Councils, Abuja https://www.cribfb.com/journal/index.php/ijsmes/article/view/544 <p>The well-being of every organization and institution lies on the performance of its employees. Local government area councils are created to render services and to address the social needs of the people. These services are highly essential to the sustenance of people at this level. However, when workers who are employed to discharge all these services on behalf of the government to the people are unable to perform their jobs as expected, problems arises as the expected social and economic service are barely executed. The study aimed at examining the effect of self-efficacy and distributive justice on employees’ performance in FCT area councils, Abuja. A survey research design was used and primary data were gathered through the use of questionnaire. A total of 217 returned questionnaires were analyzed. Structural equation model was used to analyze data using Smartpls2. Findings reveal that distributive justice and self-efficacy have a positive and significant effect on employees’ performance. The study, therefore, recommends that the operation of distribution justice should be encourage at the grass root level since the employees are motivated by their reward at the end of the day; Self efficacy&nbsp; of the employees’ should also be improve through effective initiatives so as to motivate employees to perform their jobs optimally.</p> Garba Shekwonuchie Yahaya Idachaba Odekina Innocent Saliu Hakeem Tomi ##submission.copyrightStatement## http://creativecommons.org/licenses/by/4.0 2020-04-14 2020-04-14 3 1 34 42 10.46281/ijsmes.v3i1.544 Understanding of Accounting and Training for the Development of MSME’s Financial Statements Based on Sak Emkm https://www.cribfb.com/journal/index.php/ijsmes/article/view/560 <p>The purpose of this study was to determine the Effect of Accounting Understanding on MSME Financial Reporting Based on SAK EMKM, Effect of Training on Financial Report Preparation on MSME Financial Reporting Based on SAK EMKM. Study at Sanan Tempe Chips Industry Center in Blimbing District, Malang City. The sample of this research is 65 MSME centers of Sanan Tempe Chips Industry in Malang City Blimbing District. Hypothesis testing uses a regression test that is preceded by a normality test, a multicollinearity test, and a heteroscedasticity test. Furthermore, hypothesis testing is done by using multiple regression tests. The results of the study indicate that accounting understanding has no significant effect on MSME financial reporting based on SAK EMKM. Training on the preparation of financial statements has no significant effect on MSME financial reporting based on SAK EMKM.</p> <p><strong>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </strong></p> Darto Dengi Bokol . Ratnawati Sukma Perdana ##submission.copyrightStatement## http://creativecommons.org/licenses/by/4.0 2020-05-04 2020-05-04 3 1 43 47 10.46281/ijsmes.v3i1.560