Project Materials


The influence of disaster risk management on the growth of small businesses.

The influence of disaster risk management on the growth of small businesses.



This study investigates the effect of catastrophe risk management on the growth of small businesses in Northern Nigeria. This study was guided by the following research questions: How effective is disaster risk management on local institutions in Northern Nigeria? What effect does minimizing disaster risk have on small businesses in Northern Nigeria? How do Northern states gain access to money for disaster risk management? How do state and federal policy and operational assistance affect disaster risk management in Northern Nigeria? Survey methodology was utilized as the research strategy. The entire population of 35 NEMA and SEMA members in five northern states with a combined population of 200. As a means of data collection, a questionnaire with a five-point Likert scale was utilized. The mean (x) was utilized for . The results of the investigation reveal that The efficiency of NEMA in Northern Nigeria and the effectiveness of state government Disaster Risk prevention and monitoring demonstrate the effectiveness of disaster risk management in Northern Nigeria. However, the Ecological Fund granted to Northern states is not effectively administered. The Disaster risk mitigation trust Fund managed by the state through formal institutional structure, Fund raising and Ecological fund accessed from the federal government, Bilateral and multilateral assistance at the international level, as well as accessing the global environmental facility fund of the world bank, are used to assess funds for disaster risk management.



There is evidence to show that environmental deterioration has contributed to an increase in the occurrence of natural catastrophes in a number of nations (World Bank 2002). Natural disasters are intricate and multifaceted occurrences caused by mismanaged and unmanaged hazards that represent current conditions and historical circumstances (Alexander 2000). The root of disaster risk is collective, and it remains a “public,” shared danger, making it difficult to find individual and, frequently, community remedies (comfort 1999). A disaster occurs precisely when the losses caused by a particular occurrence exceed the capacity of a population (local, regional, or national) to respond and recover. Interaction between a natural hazard – the external risk factor – and vulnerability – the internal risk factor – results in disaster escalation (Cardona 2001).

The recently finished United Nations International Decade for Natural Disaster Reduction gave a boost to the growing international awareness of integrated disaster risk management (of which disaster risk mitigation is a component).

Similarly, The Nigerian Disaster Management Act (Act 57 of 2002) ushers in a new era in terms of how disaster risk, hazards, and vulnerability will be viewed in the future in Nigeria. As one of the finest pieces of legislation ever enacted in Nigeria, the right into the backyard of every state and local municipality, as well as all state organizations and public bodies, is regarded as one of the country's finest laws.

It requires the formation of cross-government institutions, frameworks, plans, procedures, and strategies. It proposes a new approach to managing the intricate and dangerous society in which we find ourselves. In addition, it assigns the task of catastrophe risk management to the highest political authority in each government sector.

The foundation of successful and efficient disaster risk management is the integration and coordination of all role-players and their actions into a holistic system aimed at reducing catastrophe risk. Disaster risk reduction in Nigeria is comprised of a variety of cross-cutting factors requiring the participation of a multitude of sectors and disciplines, not only from within the spheres of government (Federal, State, and Local), but also including the private sector, civil society, Non-Governmental Organizations (NGOs), Community-Based Organizations (CBOs), Research Institutions, and Institutions of Higher Learning, to name a few. In the context of disaster risk management, none of these actors can function alone.

In Nigeria, Disaster Risk Management has been developed as a public sector activity across all levels of government. However, catastrophe risk management transcends simple line-of-business responsibility. The Disaster Management Act (Act 57 of 2002) defines an integrated, multi-sectoral, multi-disciplinary strategy to mitigating risks linked with hazards and vulnerabilities. Therefore, it must be incorporated into the development planning.

Process is necessary for success. For this reason, catastrophe risk management plans are a vital component of each state's Integrated Development Plan. In light of this, the budgeting process within the state government domain in Nigeria, which aims for sustainable growth within the state government, is unquestionably of strategic significance. Therefore, development planning should be evaluated based on its contribution to either risk reduction or disaster risk amplification.

Unfortunately, the current policy and regulations do not adequately guide state governments in terms of catastrophe mitigation, response, and recovery funding arrangements. There are numerous funds and funding mechanisms accessible, which causes considerable confusion. Within the disaster management community, the necessity to integrate all catastrophe prevention and response-related money into a single fund is well-known and has already been explored.

Although this would be the ideal condition, it is unrealistic to think that Nigeria's public financial infrastructure would allow for the creation of a comprehensive fund. In view of the current security issues and flood that have brought unimaginable hardship to the people of northern Nigeria, this research has been prompted and a search spotlight has been directed northward.


The act establishing the National Emergency Management Agency (NEMA) of Nigeria makes specific provision for the funding of post-disaster recovery and rehabilitation as well as requiring that a disaster management plan be prepared for a specific state and form an integral part of the state's overall integrated development plan. This disaster management plan must indicate measures to reduce the vulnerability of disaster prone , communities, and housing.

Despite this provision, disaster risk management in Nigeria has been marked by inefficiency due to mismanagement or mismanaged mitigation and post-emergency scenarios. This is due to confusing procedures for states and local governments to receive cash for disaster management, particularly when such funds are to be granted by the federal government. Other concerns include corruption and mishandling of donor-provided funds, as well as the failure of other private entities to decrease disaster risk.

As a result of the ongoing security concerns in Northern Nigeria, it is difficult for Nigerian states, particularly those in the north, to make funds available for the establishment and maintenance of disaster risk management. In order to handle the issue, it is necessary to answer a number of questions.

In light of this, the topic of The influence of catastrophe risk management on the socioeconomic growth of Nigeria: A case study of small scale firms in Northern Nigeria becomes an empirical issue deserving of investigation.


The following research question prompted this study:

How effective is catastrophe risk management on Northern Nigerian local institutions?

What are the implications of catastrophe risk mitigation for small businesses in Northern Nigeria?

How do Northern states gain access to money for disaster risk management?

How do state and federal policy and operational assistance affect disaster risk management in Northern Nigeria?

This study examines the gap between disaster risk management and socio-economic development in Northern Nigeria. The answers to the aforementioned questions will indicate the size of the gap.


The primary purpose of this study is to investigate the effect of disaster management on the growth of small companies in Northern Nigeria. The precise aims of the research are to:

i. Evaluate the efficiency of disaster risk management in Northern Nigeria's local institutions.

ii. Evaluate the effects of catastrophe risk mitigation on small companies in northern Nigeria.

Determine how monies are allocated for disaster management in northern states.

Determine the effect of state and federal policy and operational assistance on disaster risk management in Northern Nigeria.


The effects of disaster risk management are negligible.

socio-economic growth of Nigeria.

HA1: Disaster risk management has a substantial influence on

Nigeria's socioeconomic progress.

H02: Disaster management in Nigeria is highly effective.

HA2: Disaster management in Nigeria is ineffective

In Nigeria, disaster management is adequately funded.

In Nigeria, disaster management is underfunded.

1.6 Importance of the Research

The study may be valuable to both federal and state government policymakers. Local institutions, non-governmental organizations, corporate organizations, as well as academics and the general public, will find this research to be extremely important.

This report can be utilized by federal and state policymakers as a basis for disaster management policy framework development.

Local institutions, non-governmental organizations, and business organizations will find this work extremely valuable for their activities in the field of social responsibility. It will also serve as a suitable starting point for students who intend to conduct additional research on the topic. The study may also contribute to our understanding of the impact of Disaster Management on Nigeria's socioeconomic progress.


This study examines the influence of disaster management on the growth of small enterprises in Nigeria. Consequently, the scope of this study is confined to an examination of the effectiveness of disaster risk management and its influence on local institutions in the north, with a focus on small companies. The time span covered by this study is from 2007 to .

The influence of disaster risk management on the growth of small businesses.



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