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ABSTRACT
The focus of this research “An Evaluation of the Impact of NAPEP on Entrepreneurship development in Nigeria” was to access the impact of entrepreneurship activities in Nigeria, a case study of Imo State. The programme was designed by the government to cater for unemployed youth and jobless person all over the country. To arrive at my conclusion, I administered a questionnaire with some primary and secondary data on different categories to know the percentage of the response to my analysis. There were 33 questions altogether which were split into different categories. Appendix I, Section A, the questionnaire was administered to both male and female which the response was low (25) in Section B, those that were aware were just 18 and majority were aware through friends or relations, a few benefited in kind, a few in cash. In section C, assessing the impact, out of 25 people, 21 saw it effective while 4 saw it ineffective. In conclusion here it was discovered that there is no enough money to meet their challenges which causes poverty / laziness. Under policy implementation majority agreed that the policy does not address multidimensional problems. 66.7% agreed that government and NGOs are needed, while 33.3% disagreed and 5.6% agree that there are sufficient fund available. From my Chi-square table, the chi-square (x2c calculated is (2.4994) and the chi-square (X2t) tabulated is (15.5): if the X2c < X2t, we conclude that there is no positive relationship between NAPEP and Entrepreneurship development which is accepting the null hypothesis (Ho). In enhancing entrepreneurship development in Imo State, we finally recommended that government should monitor funds being allocated to different sectors of the economy for improved activities of NEPEP so that they further assist the beneficiaries for greater and effective participation in the programme for the interest of the Nigerian economy.
CHAPTER ONE
INTRODUCTION
Background of the Study
Poverty and unemployment represent the biggest challenges to government
in Nigeria. Unemployment rate continue to rise alarmingly, poverty has
economic, social and political ramifications. Basically, Poverty has
been conceptualized in the following ways;
1. Lack of access to basic needs/goods.
2. Lack of or impaired access to productive resources
3. Lack of job opportunities e.t.c.
The level of poverty since the implementation of SAP in the 1980s has
tremendously increased [UNDP Nigeria, 1998; FOS, 1999; World
Bank,1999].The poverty profile has shown that poverty increased from
28.1% in 1980 to 43.6% in 1985 but declined to 42.7% in 1992 and rose
again to 65.6% in 1996.since 1990,the country has been classified as a
poor nation.
In recent years, there has been a semblance of continuity of liberal
tradition in Nigeria; attitudes towards the system of welfare that
supports the poor are rooted in our different cultural settings. The
normative tradition approach to liberalism in the Nigerian society
function to promote social cohesion, solidarity and citizenship. The
duty to share among Nigerians in our diversity is intuitive. This duty
rests on the consideration of human worth. In this context, we reason
that others have human souls as we do and so we always choose to be
indifferent to the needs of others (FEAP, 2001). Apparently, Nigerians
always choose to care for others. This duty comes from a sympathetic
concern that others be able to make life. In mitigation, however, it
has, over time, introduced several macro-economic measures and
initiations to address unemployment questions and also promoting
entrepreneurship in the country. There was a structural adjustment
programme (SAP) in 1986, which preached the liberalized economic
approach, Directorate of food, roads and rural infrastructure (DFFRI),
which was devoted to rural infrastructural projects and more recently,
the national poverty eradication program (NAPEP) but of more relevance
to the youth were such initiatives as the national Directorate of
employment (NDE) programs, which targeted skills development and job
creation among the youths. Thus the difference between NAPEP and poverty
reduction agencies is that it is not a sector project implementation
agency but a co-ordination facility that ensures that core poverty
eradication
ministries are effective. It would only intervene when necessary, under
its secondary mandate which gives it the right to provide complementary
assistance to the implementing ministries and Parastatals nationwide.
The importance of both small and large enterprise growth and, more
broadly, of sustainable private sector development and expansion as
principal sources of economic growth and employment cannot be
overstated. Economic growth is fueled, first and foremost, by the
creativity and hard work of entrepreneurs and workers. Driven by the
quest for profit, private sector enterprises innovate, invest and
generate employment and wage income. They typically represent not only a
majority of the total stock of enterprises but also a significant
proportion of the national production system. They also are largely
responsible for the vitality of local markets and make a major
contribution to the improvement of living standard. The promotion of
sustainable entrepreneur activity both large and small and of the
national private sectors that contain them, is “ a broad and wide
ranging subject, because entrepreneur takes many forms, not just in
terms of size, sector and spatial dimension but also in terms of how an
entrepreneur is managed and governed and its legal status and
operational objectives”. (Google).
A careful study of the entire poverty alleviation program already put in
place in Nigeria shows that there is a drive in the direction of making
more people to work by encouraging entrepreneurship and small and
medium scale business.
1.2 Statement Of The Problem
It has been known in Nigeria that every government embarks on one
form of poverty reduction strategy or the other in promoting
entrepreneur activities. However, what has remained unanswered is the
extent to which these programme have impacted on business or the
entrepreneurs. Today, poverty has been addressed as a global problem,
especially in places like Africa, Asia, and Latin America. On the
average 45-50 percent of sub-Saharan Americans live below the poverty
line. In Nigeria, about 43% of the population was living below the
poverty line of N305 a year in 1985 prices. To this effect, the United
Nations declared 1996 the international year of eradication of poverty
and 1997-2006 a decade of poverty eradication. So many times on
assumption of office in 1999, president Obasanjo indicated that the
poverty situation in which over 60% of Nigerians live below the poverty
line, requires more effort to prevent it
from getting worse. All these resulted to the introduction of NAPEP in
Nigeria in the year 2001. Recently, studied in (OECD;2000) on poverty
alleviation and its agencies as well as programs indicate that
considerable gap exist between the target objectives and achievements.
Despite all the efforts being made, poverty has still been in an
increasing rate in the country, efforts of various government policies
are ineffective and therefore not much has been done to actualize the
benefits. Thus, the alleviation of poverty in Nigeria is not an
intractable problem. This problem is first and foremost a political and
ideological challenge requiring a recruitment effort for entrepreneur
sustainability (ALIYU; 2001). Also, the lack of continuity in the
programs from one administration to the other in one of the problems in
the development of entrepreneurship. This study thus, attempts to answer
the following questions;
1. In which way can NAPEP promote entrepreneurship activities in
Imo state?
2. Are there any relationship between NAPEP and entrepreneurship development?
3. Is poverty eradication program appropriate for Nigeria?
4. How has government concept of NAPEP affected its success?
5. How has NAPEP activities impacted on poverty reduction as a
boost to economic development?
1.3 Objectives of the Study
The overall objectives of the study are to asses the various strategies
of policies for the development of entrepreneurship. Generally the
objectives are;
To asses the relevance of NAPEP as poverty alleviation policy.
To examine the effectiveness of NAPEP on entrepreneurship development in the country.
To identify and analyze challenges of the program.
To proffer some policy recommendations based on the findings of the study.
1.4 Significance of the Study
It is a well known fact that the present administration had attached
much emphasis on poverty alleviation program amongst its people
basically in the area of entrepreneurship, job creation and economic
empowerment. It therefore requires concerted efforts by all to
contribute to the success of all important but elusive goals.
It is hoped that the relevance of this study serves as a ready made tool
for government to apply strategic ways in promoting entrepreneur
activities and also to check the youth involvement in anti-social vices
such as fraud, prostitution, armed robbery etc. which could be
minimized. This study also provides an opportunity for others of
government, to accept the reality that entrepreneurship development
stimulates economic growth. The study would also provide information on
the role of poverty alleviation program in sustaining entrepreneurship
activities. Nonetheless, this research will be of benefit to the
government research and social scientist around at projecting or
developing means to enhance the living standard of the entire society.
1.5 Scope and Limitation Of The Study
The study of poverty alleviation program in the performance of
entrepreneurship development is a broad project to embark on due to the
lack of the continuity of some policies that have been implemented
earlier on in fighting the problem of unemployment and the creation of
jobs and also in the promotion of some
enterprises such as the small and medium and also for other social
entrepreneurs. Therefore, the research wishes to limit the scope of this
study to “an evaluation on the impact of NAPEP on entrepreneurship
development”. A case study of Imo state. The period of study cover from
2001-2009. Perhaps, the most debilitating limitation of this study is
the inadequacy of data. The most available data was not sufficient
enough and some of the data available in the NAPEP office in Imo state
were outdated. There was also a limitation in terms of library
facilities as it is only the World Bank, British council, United Nations
and Central bank of Nigeria libraries that have materials related to
the study. The researcher being a full time student had no enough time
to make extensive research. However, the above limitations could not
hinder effective and meaningful research work. Rather they motivated the
research to try to summon them all.
1.6 Hypothesis
This attempt shall test two hypotheses; hypothesis could be alternative or null hypothesis. Null hypothesis
(Ho) is a negative declaration, while alternative hypothesis
(Hi) is a positive declaration.
The study will test the hypothesis below;
Ho: NAPEP has no profound effect on the development of entrepreneurship.
Hi: NAPEP has a profound effect on the development of entrepreneurship.
1.7 Organization of the Study
The entire research project consist of these chapters. Chapter one
consist of a brief introduction on the background of the study,
statement of the problem, research questions, objectives of the study,
significance of the study, scopes and limitations of the study,
hypothesis, outline of the study and the definition of terms. Chapter 2
would cover the literature review, comprises of conceptual ,theoretical
framework and the empirical literature, case study review,
entrepreneurship challenge in Nigeria, economic perspective on
entrepreneurship, Nigerian poverty alleviation in enhancing
entrepreneurship, brief history of NAPEP, constraint, on NAPEP in
enhancing entrepreneurship, and summary of the chapter. Chapter 3 deals
with research methodology; such as research design, sample size and
sample technique, data collection and methods, data analysis techniques,
presentation of data, justification of the method used and the summary
of the chapter. While chapter 4 will cover data presentation and
analysis, test of hypothesis, finding of the research and summary of the
chapter. Finally chapter five will contain the summary of the whole
study, conclusion and recommendation and bibliography.
1.8 Definition Of Terms
Poverty: Poverty is the state of one who lacks a certain amount if
material possessions or money. It could also be the deprivation of basic
human needs such as; food, water, sanitation, clothing, shelter, health
care and education.
Entrepreneur: An entrepreneur is a person who develops a new idea and
takes the risk of setting up an enterprise to produce a product or
service, which satisfies customer’s needs.
NAPEP: National poverty eradication program responsible for alleviating poverty in the country.
SAP: State poverty alleviation program responsible for eradicating poverty within the state.
YES: Youth empowerment scheme, which deals with capacity acquisition,
productivity, technology development and enterprise promotion.
UNDP: United Nations development program. This is the United Nations organ for development purposes.
HDI: Human development index. This is a criterion used by United Nations
in making and positioning a country in terms of standard of living.
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