ABSTRACT

The study aims at identifying the operational problems of NACRDB in financially small and medium scale enterprise in Nigeria. In carrying out the study term participating banks in the scheme.

        The decision to study the operational problems of NACFDB was prompted by the important role played by the small and medium scale enterprises in the economy such as ours. The questionnaire and interview methods were used to extract information from bank, NACRDB official and Association of NACRDB beneficiaries. The information obtained were analysed using simple percentage ratios.

        It was observed that:

-       Distress in banking sectors coupled with the high-risk nature of the SMES       are the main reason for inadequate bank support to SME s.

-       Government is inconsistency on policies affecting NACRDS has a negative effect on the NACRDB scheme.

        Finally, the study conclude that future of the country will be bright if the SMES are effectively natured to realize the aims and objective of setting item up.