Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 2

Micro enterprises are the starting point of growth in the economies towards industrialization.

However,
micro enterprises have their significant effect on the income distribution, tax revenue, and employment,
efficient utilization of resources and stability of family income. According to the United Nations Industrial
Development Organization, for developing countries, integration into the global economy through
economic liberalization, deregulation and democratization is seen as the paramount way to triumph over
poverty and inequality. The growth of enterprises, which capacitate enterprises, can play a vital role in
employing more labor (Mukole, 2010).

Recently, a number of Sub -Saharan Africa countries adopted poverty reduction strategies that mainly
emphasize promotion of micro enterprises as a way to reduce poverty particularly among the urban
dwellers. Consequently, governments and the donor community increased their involvement with micro
enterprises assistance programs that include improving availability of credit, vocational
training programs and short trainings to entrepreneurs and their workers, and facilitating
markets services among others (Mulu, 2007).

You might also like