The Effects of Saving and Saving Habits on Entrepreneurship Development

Abstract

Saving is an essential instrument for capital accumulation and formation which further enhance economic growth and development through investing the saved fund. This study examined the effects of saving and saving habits of individuals on entrepreneurship development in Jalingo metropolis, Taraba State, Nigeria. The objectives of the study were to: examine saving and saving habits of the respondents, assess the effects of saving and saving habit on entrepreneurship development, assess the effects of perceived financial wellbeing on entrepreneurship development. Multi-stage sampling technique was used. Wards were randomly selected from the existing ten wards in Jalingo metropolis.50% of the residential areas in each ward were systematically selected. Then 0.718% of the population in each of the selected residential areas were drawn. There were total of 130 respondents. Data were collected using structured questionnaire on five point Likert scale. The data for the study were analyzed using SPSS 16, descriptive and correlation statistics. The results revealed that 89.7% do save, 38.4% for education, 47.6% save regularly, and 54.7% save for perceived financial wellbeing, 52.4% do not collect loan. The correlation results revealed positive relationship between saving, saving habit, perception of financial wellbeing and entrepreneurship development.

Keywords: Saving, Habit, Entrepreneurship, Development, Wellbeing, Loan.