The main objective of the study was to identify factors affecting the growth of MSEs in Robe Town. To achieve this objective, primary data were collected through a structured questionnaire from a sample of 384 micro and small-scale enterprise owners/managers. A multiple linear regression model was applied for data analysis. The results of multiple linear regression results reveal that growth of MSEs measured in terms of employment change was affected by owners/manager's education level, work experience of the managers/workers, size of business enterprises, access to formal credit, infrastructure and work premises. Based on the major findings of the study, expansion of credit services, provision of training, development of infrastructure and provision of workplace were recommended.
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