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Problems of Business Financing In Nigeria - SS1 Economics Past Questions and Answers - page 1

1
What is one of the main challenges facing businesses in Nigeria in accessing finance?
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A
Low-interest rates
B
Limited access to finance
C
High financial literacy
D

Strong government policies

 

2
What is the impact of high-interest rates on businesses in Nigeria?
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A
It makes it easier for businesses to access affordable financing
B
It makes it difficult for businesses to access affordable financing
C
It reduces the risk of default for lenders
D

It encourages more investment in the economy

 

3
What is one of the reasons why some business owners in Nigeria struggle with financial management?
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A
Lack of access to finance
B
High financial literacy
C
Limited understanding of financial management
D

Strong regulatory frameworks

 

4
What is the impact of inconsistent government policies on business financing in Nigeria?
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A
It creates a stable economic environment
B
It creates uncertainty for investors
C

It leads to a reduction in corruption

 

D
It improves financial literacy among business owners
5
What is the impact of corruption on business financing in Nigeria?
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A
It reduces the cost of borrowing
B
It makes it easier for businesses to access finance
C

It can affect business financing as some lenders may demand bribes before granting loans

 

D
It improves the regulatory framework
6

What are some of the challenges facing small and medium-sized enterprises (SMEs) in Nigeria in accessing finance?

 

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7

How can limited financial literacy affect businesses in Nigeria?

 

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