FINANCIAL INCLUSION AS A STRATEGY FOR SUSTAINABLE BUSINESS FINANCING IN THE EMERGING ECONOMIES

Abstract

This study investigated financial inclusion as strategy for sustainable business financing in the emerging economies. The research employs a cross-sectional survey design to analyze the impact of access to credit, financing strategies, and the regulatory environment on sustainable business financing in Edo State, Nigeria. A structured questionnaire was administered to 250 business owners and managers selected through purposive sampling from key sectors, including agriculture, manufacturing, and retail. In addition to closed-ended survey responses, semi-structured interviews were conducted to provide qualitative insights into financing experiences. The findings reveal that access to affordable credit, well-structured financing strategies, and a conducive regulatory framework significantly influence business sustainability in depressed economies. Specifically, businesses with improved credit access and flexible regulatory policies demonstrated higher financial resilience and growth potential. Regression analysis further confirms a strong positive relationship between these variables and sustainable business outcomes. Based on these findings, the study recommends that policymakers and financial institutions develop specialized credit facilities tailored to the needs of businesses, particularly in emerging markets. Additionally, business owners and managers should undergo training on effective financing strategies that balance risk and sustainability. Furthermore, governments should streamline regulatory frameworks to reduce bureaucratic hurdles, fostering a more enabling financial environment. By implementing these recommendations, businesses can enhance their financial stability and thrive despite economic constraints.