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Research Paper | Economics | Ghana | Volume 5 Issue 5, May 2016

Reducing Internal Migration through the Establishment of Small and Medium Enterprises in the Bolgatanga Municipality of Ghana

John Agyei | Nicholas Awuse | Patrick Tandoh-Offin

Abstract: In Ghana, cities such as Accra, Kumasi, Takoradi and other business towns are densely populated as a result of internal migration. The growth of Small and Medium Enterprises (SMEs) in Bolgatanga can be considered as a significant variable for poverty reduction and rapid industrialization. The principal aim of this paper is to focus on the forces that motivate young persons to start SMEs in the Municipality. It is considered as an alternative to southward migration that would lead to economic prosperity. A structured questionnaire, containing 25 variables was used to collect data by survey from the target population and the sample size is 186. The data were analyzed through simple descriptive statistics. The study revealed that entrepreneurs were mostly encouraged to start SMEs for motivational or pull factors such as gaining self-independence, providing financial support to family, better health services, the need to send their wards to schools, improving quality of life, etc. Some of the factors found to be influential were inspiration from friends and relatives, availability of markets, profits potential and many others. It was disclosed however, that in developing regions, business generally in the Municipality suffer from lack of financial support, income, and gender based discrimination, lack of adequate training facility. Government and private initiative is imperative in this regard to address the difficulties.

Keywords: SMEs, entrepreneurship, motivation, financial, socio-economic, demographic

Edition: Volume 5 Issue 5, May 2016,

Pages: 1877 - 1886