Small Medium Enterprises (SMEs), Environmental Management and Poverty Reduction in Western Uganda

International Journal of Research and Innovation in Social Science (IJRISS) | Volume III, Issue VI, June 2019 | ISSN 2454–6186

Small Medium Enterprises (SMEs), Environmental Management and Poverty Reduction in Western Uganda

Dr. Marus Eton¹, Professor Natal Ayiga², Moses Agaba³, Fabian Mwosi⁴, Dr. Benard Patrick, Ogwel⁵

^1,2,3 Kabale University-Kabale Uganda
⁴Bishop Barham University College Kabale Uganda
⁵Kampala International University-Kampala Uganda

Abstract:- The study aimed at assessing the role of SMEs and environment management in poverty reduction in Western Uganda. The study a descriptive and correlation study design. The data was collected by use of structured and closed ended questionnaires. The findings revealed a strong association between (SMES and environmental management) and poverty reduction (r =.644; sig. <.05). The study found out that SMEs lack access to innovative technologies, which are essential in buttressing SME roles in poverty reduction. The study revealed that very little financial resources are directly channeled to SMEs amidst ever increasing interest rates on loans. Government policies on SMEs are deficient in terms of technical, technological, financial, and managerial and infrastructures needed for effective contribution to economic growth and poverty reduction. The study further suggest that SMEs can resolve problems of poverty and unemployment if they can access cheap capital. The study therefore recommends that government should prioritize SME sector in budgets to enhance its contribution to economic growth and poverty reduction.

Key words:- SMES, Environment, Poverty Reduction, Western Uganda

I. INTRODUCTION

The changes brought about by industrialization continues to create significant environmental and livelihood challenges for human beings all over the globe, which requires urgent response by focusing on Small and Medium Enterprises (Nulkar, 2014). Large manufacturing industries contribute to pollution by discharging harmful organic compounds and toxins(Elisa Truant, 2016; Shah, S, Naghi, E. G, & Hasan, S., 2017), which have significant negative effects on biodiversity. These pollutants come from plastics, non-metallic minerals, chemicals and industrial castings. In the now developed and developing countries, eco-innovation in SMEs has been found to contribute to reducing the volume of industrial pollutants thereby contributing to the making of green economies (Spence, Agyemang, & Rinaldi, 2012)

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