The Role of Small and Medium Enterprises on the Nigerian Economy ( a Case Study of Selected Smes in Auchi, Edo State)

ABSTRACT
The study examined the role of small and medium enterprises on the Nigeria economy with selected SMEs in Auchi, Edo State. It adopted a descriptive research survey. The accessible population for this study is 142. The sample size is 105, using the Taro Yamane formula for sample size determination. Only 93 questionnaires were completed and returned. A simple random sampling technique was adopted. Chi-square test statistic was used with the aid of the Statistical Package for Social Sciences (SPSS) version 24.0. From the analyses tested, the study found that there exists a significant relationship between small and medium enterprises (SMEs) and economic growth in Nigeria, as the challenges faced by these enterprises notably hinder their contribution to economic development, while government policies and support programs play a crucial role in influencing their growth and sustainability. The study recommended that, government and all stakeholders should actively promote the growth and development of SMEs in Nigeria due to their significant contribution to economic development, by implementing policies and programs for skill acquisition and technical training to foster entrepreneurial skills, as well as increasing funding for essential services like power supply and infrastructure to ensure the smooth operation of these enterprises.