Credit Accessibility and the Sustainable Growth of Micro, Small and Medium Enterprises in Kericho County, Kenya

Abstract

Many studies proposed ways of ensuring these MSMEs at least survive up to their fifth year but still they remain contested. The key objective was to assess the association beween credit accessibility and the sustainable growth of micro, small and medium enterprises in kericho county, Kenya. Data was gathered using a closed-ended questionnaire. The study adopted research design implemented for this project consists of a descriptive approach. The population of this study was 22,327 MSMEs owners from different industrial sectors operating in Kericho County. The study adopted stratified sampling of 98 MSME owners. Descriptive statistics and regression were used to infer level of association between credit accessibility and growth of MSMEs. Results for the variables were; credit accessibility (beta= 0.502022, p =0.0000). Findings show one variable explains up to R-square 57.9% and adjusted R-Square 0.552. Based on the obtained results from the surveyed MSMEs in Kericho County, it was concluded that credit accessibility significantly enhances MSME sustainability. The main recommendation is government and creditors should promote improve accessibility to credit to facilitate MSME growth in Kericho County.