Macroeconomic Variables and Small and Medium-Sized Enterprises (SMES) Resilience in Nigeria

Abstract

This study investigated the relationship between macroeconomic variables and the resilience of small and medium-sized enterprises (SMEs) in Nigeria using a data from the Central Bank of Nigeria spanning 2000 to 2022. The study examined how inflation, exchange rates, and GDP impact SMEs by employing an ex-post-facto research design and ordinary least squares (OLS) econometric techniques. The results indicated that inflation and exchange rates exert a significant negative effect on SME resilience while the impact of GDP, though positive, lacks statistical significance. The study recommended supportive policies and an enabling business environment to bolster SME adaptability and sustainability in a volatile economic environment.