Social Capital and Micro Businesses Development in Nigeria

The rising unemployment rate in Nigeria highlights the need for self-employment through micro business development. Scholars emphasize the importance of social capital in employment generation. This study examines the role of social capital in micro business development in Ebonyi State, Nigeria, focusing on how network assets relate to micro business associations and how relational assets influence self-employment generation. Using a correlation research design and factor analysis, data from 389 respondents were analyzed via Pearson correlation. Results showed a significant positive correlation between network assets and micro business associations (r=0.72, p<0.01) and between relational assets and self-employment generation (r=0.52, p<0.01). The study concludes that social capital significantly enhances micro business development, driving socio-economic activities and job creation. It recommends institutionalizing social capital among micro business owners to boost economic growth and address youth unemployment.