Contributions of Small and Medium-Scale Enterprises and Economic Development in the Bolgatanga Municipality, Upper East Region

Abstract

The study examined the contributions of Small and Medium Scale Enterprises (SMEs) to economic development in the Bolgatanga Municipality in the Upper East Region. Specifically, the study examines the characteristics of SMEs to the economic development in the Bolgatanga Municipality; examine the contributions of SMEs to the economic development in the Bolgatanga Municipality and examine the challenges confronting SMEs to the economic development in the Bolgatanga Municipality. Explantory design was utilized. Primary data were collected from 152 SMEs owners in the Bolgatanga Municipality. The major finding of the study was that SMEs activities are recognized as a prolific job creator, innovation stimulators, new product developers, poverty alleviators and income redistributors. Hence, it was recommended that SMEs owners in the Bolgatanga Municipality should endeavour to run their business in order to operate at a standard level in order to compete the international companies. In addition, SMEs owners in the Municipality are entreated to formulate and execute strategies such as CSR activities in order to improve stakeholders’ welfare, removal of poverty and the provision of employment among others. Finally, SMEs owners in the Bolgatanga Municipality are also entreated to acquire external capital from government in order to improve their business.