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THE IMPACT OF MICROFINANCE BANKS IN DEVELOPMENT OF RURAL AREAS IN NIGERIA (A CASE STUDY OF UNILEVER MICROFINANCE BANK ABA ABIA STATE)


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THE IMPACT OF MICROFINANCE BANKS IN DEVELOPMENT OF RURAL AREAS IN NIGERIA (A CASE STUDY OF UNILEVER MICROFINANCE BANK ABA ABIA STATE)

Abstract

This study aim at describing the impact of MicroFinance banks in the development of rural areas. To this effect, a case study was used which is UNILEVER Micro-Finance Bank Aba in Abia state. This study aim at unearthing the powerful strategy for alleviating poverty in general and rural poverty in developing country, to analyze the strengths, weakness, opportunities and threats of MicroFinance institutions in the selected region, to access the problems encountered by MicroFinance service consumers in the rural areas. To achieve this purpose, 4 (four) research questions were raised Vis: how does MicroFinance institution operate in selected rural settling in the country? What are the problems encountered by MicroFinance service consumers in the rural areas? What are strengths, weaknesses, opportunities and threats of MicroFinance institutions in the selected region? In addition, hypotheses were formulated to guide the study namely: MicroFinance Banks helps in the development of rural areas. UNILEVER MicroFinance Bank is aimed at increasing the level of per-capital income of its rural community in Abia State. The researcher uses percentages respondents’ opinion. The researcher also made some Recommendations among which were: MicroFinance Banks should involve themselves in the catchments areas. Because is the last hope of rural dwellers.

TABLE OF CONTENTS

Title page i
Approval page ii
Dedication iii
Acknowledgements iv
Table of contents vi
Abstract x

CHAPTER ONE
INTRODUCTION
1.0 Background of the study 1
1.1 Statement of the problem 6
1.2 Purpose of the study 8
1.3 Research question 9
1.4 Statement of Hypothesis 10
1.5 Theoretical Framework 11
1.6 Significance of the study 12
1.7 Scope of the study 13
1.8 Limitations of the study 14
1.9 Definitions of terms 14



CHAPTER TWO
LITERATURE REVIEW
2.1 Introduction 16
2.2 Concept of Oko MicroFinance Bank 25
2.3 The record of MicroFinance Bank 27
2.4 Importance of credit to the Development
of the Rural Communities 35
2.5 MicroFinance Bank offer a number of credit
delivery schemes 40
2.6 Products and Services 41
2.7 Summary of Literature review 42

CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Design of the study 44
3.2 Area of the study 44
3.3 Population of the study 45
3.4 Sample/Sampling Techniques 45
3.5 Instrument for data 46
3.6 Reliability and Validity of the instrument 46
3.7 Distribution and retrieval of the instrument 47
3.8 Method of data analysis 47

CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
4.1 Personal Data 49
4.2 Data presentation 53
4.3 Analysis of research questions 53
4.4 Testing of hypothesis 58

CHAPTER FIVE
SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS
5.1 Summary of findings 63
5.2 Conclusion 64
5.3 Recommendation 65
References 67
Appendix I: Letter of Respondents 70
Appendix II: Questionnaire 71
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