Case Study of First Bank of Nigeria

This suggests that commercial banks have active developmental roles in the economy, such as allocating funds from the surplus to the spending units that are in deficit. In Nigeria, commercial banks are regarded as the primary source of funding for SMEs or, more accurately, for entrepreneurs. For instance, any industrial firm, no matter how big or small, will need money to start out and run effectively. This money will also be needed for new investments as well as for the capitalization, working capital, and rehabilitation needs of the enterprise. Therefore, policymakers in the public and private sectors have shown a keen interest in providing money to the industrial sector, particularly for SMEs. It is common knowledge that businesses rely on a range of funding sources.