Analysis of the Conditions of Access to Financing by Micro, Small and Medium-Sized Enterprises in Mozambique-Case of the Banco Nacional de Investimento

Abstract

In Mozambique many commercial, industrial, agricultural and service companies are classified as Micro, Small and Medium Enterprises (MSMEs). They constitute a central piece in the national economy, that is, a lever to the economy, both in times of prosperity and in times of crisis. The research seeks to assess the applicability of the conditions of access to the COVID-19 credit line of the National Investment Bank (NIB) MSMEs taking into consideration the reality of the National business sector. The research is qualitative in approach and descriptive in objectives, using interviews for data collection. Documentary research was used to access BNI institutional material in addition to observation during the data collection process. The conclusion of this study was that the conditions of access to the NIB credit line are applicable to companies in general but not to national companies, taking into consideration the difficulties that these companies are facing, aggravated by the COVID-19 crisis which devastated the treasury of these companies. As recommendations, the BNI should adapt the conditions of access to finance to the difficulties of MSMEs and The State should ensure the promotion of financial literacy and permanent monitoring of financial activities in the country. MSMEs should look for alternative sources of financing such as the Stock Exchange in addition to betting on the formation of human capital.