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Abstract

The study examined the effect of government policies on SMEs performance in Delta State. The study used a cross-sectional survey research design. The population for this study was 1,312 SMEs operators, Job Creation Bureau staff (as regulators), and staff of the Delta State Ministry of Trade and Investment. A structured questionnaire was used as the research instrument for data collection. The study employed the convenience sampling technique. In selecting the sampling size, the Taro Yamane formula was adopted. Thus, 307 owners of SMEs and regulators in Delta State were selected as the sample size. In order to test the suitability of the research instrument, the internal consistency reliability method was used. Additionally, the hypotheses were tested using the multiple regression analysis method. Findings showed that access to loans (ß = 0.237, P < 0.05), export promotion (ß = 0.260, P < 0.05), entrepreneurial training (ß = 0.207, P < 0.05), and provision of infrastructure (ß = 0.261, P < 0.05) have a positive effect on SMEs performance. The study concluded that government policies have a significant and positive effect on SMEs performance in Delta State. The study recommended, amongst others, that policymakers and stakeholders should focus on prioritising investments in critical infrastructure such as transportation networks, energy supply, telecommunications, and industrial parks in areas with high SME concentration.
Keywords: Access to Loan, Government Policies, SMEs Performance.