Journal of Business and Economic Development 2018; 3(2): 51-61 http://www.sciencepublishinggroup.com/j/jbed doi: 10.11648/j.jbed.20180302.13 ISSN: 2637-3866 (Print); ISSN: 2637-3874 (Online) The Impact of Microfinance Bank on Entrepreneurship Development in Nigeria Muogbo Uju Sussan 1 , Tomola Obamuyi 2 1 Faculty of Management Sciences, Entrepreneurship Studies Department, Chukwuemeka Odumegwu Ojukwu University, Uli, Nigeria 2 Department of Economics, School of Management Technology, Federal University of Technology, Akure, Nigeria Email address: To cite this article: Muogbo Uju Sussan, Tomola Obamuyi. The Impact of Microfinance Bank on Entrepreneurship Development in Nigeria. Journal of Business and Economic Development. Vol. 3, No. 2, 2018, pp. 51-61. doi: 10.11648/j.jbed.20180302.13 Received: April 10, 2018; Accepted: May 2, 2018; Published: August 4, 2018 Abstract: This study examined the impact of microfinance bank on entrepreneurship development in Anambra State. To achieve the stated objective of the study, three research questions were formulated. The descriptive research design was adopted for the study. The population of the study was 734 staff of ten (10) selected entrepreneurial firms in Anambra State. It was impracticable to study the whole population therefore 259 staff was sampled using stratified sampling technique. Out of the 259 copies of the structured questionnaire administered to the respondents, 192 were completed and returned. The data obtained were analyzed using Pearson correlation for hypothesis one and ANOVA for hypotheses 2, and 3 respectively. The findings revealed that microfinance bank impact significantly on the development of entrepreneurship in Nigeria; that there are problems that militate against the effective financing of entrepreneurial businesses in Anambra State. Based on the findings, it was recommended that microfinance bank in Anambra State should be strengthened to embrace entrepreneurship devoid of imitation and vocational inclinations. Also adequate financial, physical and human resources should be provided by various stakeholders not only for potential but also for existing, start-ups and aspiring SMEs. Keywords: Entrepreneurship Development, Micro Finance Bank, Existing Entrepreneurs, Human Resources, Firm’s Growth 1. Introduction 1.1. Background to the Study It is worthy to note that the contribution of microfinance to entrepreneurship activities is increasingly being recognized as a primary engine of economic growth. By combining existing resources with innovative ideas, entrepreneurs add value through the commercialization of new products, the creation of new jobs and the building of new firms. The Global Entrepreneurship Monitor (GEM) indicates that nations with higher levels of entrepreneurial activity enjoy strong economic growth. In short, entrepreneurs are the link between new ideas and economic development. Speaking at the conference with a theme “Improving Access to Microfinance”, Soludo (2008) revealed that in order to sustain increase in participation of skilled entrepreneurs in the credit and other financial service delivery to the micro, small and medium enterprises in the microfinance sub-sector, Central Bank of Nigeria (CBN) is forging ahead in its determination to develop a pool of articulate and well-focused entrepreneurs through setting up one Entrepreneurship Development Centre (EDC) in each of the six geo-political zones in the country. The three pilot entrepreneurship development centres created have commenced operation since January, 2008. The centres are in Kano (North West), Ota (Southwest) and Onitsha (Southeast). Since after that conference, many EDC has been set up by CBN in many states of the federation which is in- line with the achievement of the Millennium Development Goals (MDGs). Interestingly, researchers and scholars have recognized the crucial role that entrepreneurship plays in economic development of nations, especially through the development of microfinance sub-sector. Peter and Clerk (2007) affirm that entrepreneurial development is a disposition to accept new ideas and try new methods; a readiness to express opinions, a true sense that make men and women more interested in the present