Impact of Employment Generation, Insecurity, and Cashless Monetary Policy on the Performance of Small and Medium Enterprises in Nigeria
DOI:
https://doi.org/10.63561/jmns.v2i4.1120Keywords:
Regression analysis, correlation, SMEs, entrepreneur, insecurity, employmentAbstract
This study examined the impact of employment generation, insecurity, and the cashless monetary policy on the performance of small and medium enterprises (SMEs) in Nigeria. Using data obtained from the Central Bank of Nigeria and the National Bureau of Statistics covering the period 2004–2021, multiple regression and correlation analyses were applied. The regression results revealed that employment generation has a strong positive and statistically significant effect on SMEs, insecurity exerts a negative and insignificant influence, while the cashless policy measured through Point of Sale (POS) transactions also shows a negative but insignificant effect. The model explained 86.94% of the total variation in SME performance. The findings indicated that employment generation is the major driver of entrepreneurial growth, whereas insecurity and the cashless policy implementation have not yielded significant improvement. The study recommends a more secured business environment, better enforcement of digital transaction policies, and stronger job creation initiatives to enhance SME performance in Nigeria.
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