THE IMPACT OF MICROFINANCE BANKS ON FINANCIAL INCLUSION IN NIGERIA

ABSTRACT 
This study investigated the impact of microfinance banks on financial inclusion in Nigeria using five selected microfinance banks in Abuja as a case study. The purpose of the study is to examine the impact of micro financing on financial inclusion in Nigeria and to see how other factors surrounding the microfinance banks affects financial inclusion. 
A likert type questionnaire was used for data collection. A total of 100 respondents were randomly selected as sample for the study to represent the entire population from the five selected microfinance banks. 
Three hypotheses were formulated to guide the study. These hypotheses were analysed by the researcher using chi-square statistical tool at 0.05 level of significant. The conclusion of the study were that, microfinance banks have impact on financial inclusion in Nigeria; also inadequate availability of Microfinance banks in ratio to the nation’s population in the country and inefficient technology based facilities of Microfinance banks and the rate of illiteracy among the people have negative effect on financial inclusion in Nigeria. 
The study recommended that the supervisory authorities should enforce standards so as to address the issue of poor management of funds meant for credit disbursement and that there should be public enlightenment for the masses on access to microfinance funding. 
 
TABLE OF CONTENT
CONTENTS                                      PAGE
Title page                                    i
Certification                                           ii
Dedication                                    iii
Acknowledgement                                iv
Table of contents                                v
Abstract                                    vii
CHAPTER ONE        INTRODUCTION         
1.1.    Background of the Study                        1
1.2.    Statement of the Problems                        3
1.3.    Objectives of the Study                        4
1.4.    Research Questions                             4
1.5.    Statement of Hypotheses                        5
1.6.    Significance of the Study                        5
1.7.    Scope of the Study                            6
CHAPTER TWO        LITERATURE REVIEW         
2.0    Introduction                                                        7
2.1.      Empirical Framework                                                                          7
2.2.    Theoretical framework of the study                                            14
2.2.1.    Concept of Financial inclusion                    14 
2.3.    Concept of Microfinance                        15
2.3.1.    Challenges facing microfinance banks in Nigeria             17
2.3.2.    Financial Inclusion: Access or Use?                     18
2.3.3.     Nigeria Financial Inclusion Strategy                    20
2.3.4.    Nigeria Microfinance Policy                        20
 
 
 
     
CHAPTER THREE        RESEARCH METHODOLOGY         
3.1.    Introduction                                  22
3.2.    Research Design                                            22
3.3.    Population of the Study                                22
3.4.    Sampling, Procedure and Sampling Size                        23
3.5.    Data Collection Instrument and Validation                        23
3.6.    Method of Data Analysis                                 24
CHAPTER FOUR    DATA PRESENTATION, ANALYSIS AND DISCUSON 
4.1.    Introduction                                25
4.2.    Presentation and Analysis of Data                    25
4.3.    Analysis and Discussion of Data                                                        35
CHAPTER FIVE    SUMMARY, CONCLUSION AND RECOMMENDATION
5.1.     Summary                                 37
5.2.    Conclusion                                 38
5.3.     Recommendations                            40
5.4.     Limitation of the study                        41
     Bibliography                                42
    Appendix I                                47
    Appendix II                                49