I.O. Osamwonyi

Small and Medium Enterprises play a very important role in development of the Nigerian Economy. Making up about 97% of the entire economy, they serve as a source of employment generation, innovation, competition, economic dynamism which ultimately lead to poverty alleviation and national growth. Tax policy is one of the factors that constitute the Small businesses’ economic environment. This research work tries to establish if any relationship exists between the growth of Small businesses and the tax policy environment in which they operate in Nigeria. Questionnaires were distributed to Small businesses in Benin City, Edo State, problem of high tax rates, multiple taxation, complex tax regulations and lack of proper enlightenment or education about tax related issues. Although there was a general perception that tax is an important source of fund for development of the economy and provision of social services, the study revealed a significant negative relationship between taxes and the business’ ability to sustain itself and to expand. In order to obtain a vibrant and flourishing SME sector, the tax policy needs to be appropriate such that it will neither be an encumbrance to the Small businesses nor discourage voluntary compliance. A suggested solution is by increasing tax incentives through reducing tax rates and increasing tax authorities’ support services towards small and medium enterprises.

When an individual or community lacks the means of subsistence, they are said tobeinastate or situation of poverty. Microfinance banks are financial establishments designedtohandle relatively small deposits and loans with a focus on helping the underprivileged. Theimpact of microfinance banks in reducing poverty in Nigeria is examined in this study. Thechi-square technique and the t-test were used to evaluate the data. The conclusionof thehypothesis was that microfinance banks have a beneficial effect on reducing poverty. According to the results, it is advised that the interest rates of microfinance banks be loweredin order to draw more clients to the institution, and the loan size should be increasedinorderto satisfy client needs. Additionally, there should be thorough orientation for bothbankemployees and consumers, as information is power and the fight against poverty cannot bewon without a sufficient level of public education. Also, the government has to introduceregulatory measures that support and enhance the efficiency of microfinance institutions.

The study examined the joint impact of foreign capital flow and stock market performance on economic growth in sub Sahara Africa. Three (3) economies (Nigeria, Kenya and South Africa) were selected from among the 51 economies in the region, and
data spanning 22 years (1995-2017) were obtained and subjected to econometric analysis. The pooled mean group estimator (panel ARDL) was employed for data analysis, after preliminary diagnostics has been carried out to check for the time properties of the data set. Pooled results revealed that all foreign capital flow and stock market indicators were positive and significant drivers of growth in the long run, on the contrary short run result revealed that the stock market inhibited growth in the region. Country specific estimates produced mixed findings as some variant of capital flow was found to be positive while the other negative for the same country, for example FDI was found to enhance growth in Nigeria but hampers growth in Kenya and South Africa. On the other hand, while a significant positive short run relationship was found between FPI and growth in Nigeria
and South Africa, an inverse relationship between this variable was recorded in Kenya. Country specific result also revealed significant positive relationship between stock market and economic growth in Kenya, Nigeria and South Africa, although the
magnitude was found to be lesser in South Africa.