Abstract: This study is aimed at investigating the advantages of Small and medium scale enterprises (SMEs) to the Nigeria's economy with a view to providing recommended that may guided against it negative impact. The period covers from 2000 to 2018. The econometric technique adopted for the study was multiple regression method based on ordinary least squares technique. The analysis conducted showed evidence of long run equilibrium relationship between small and medium scale enterprises and economic growth. However, in the mean time, output of SMEs (SMEO) does not make any significant contribution to Nigeria's economic growth performance. The study concludes that poor government policies, on tariffs and incentives, bribery and corruption, non-existent entrepreneurial.
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