Factors Affecting the Current Capital of MSEs: A Multiple Linear Regression Approach

Wed, 21 Jan 2026 00:00:00 +0000

Introduction

Micro and Small Enterprises (MSEs) are the backbone of Ethiopia’s industrial sector. As highlighted by Gebreeyesus (2011), they are considered the heart of development. However, many MSEs face significant hurdles in scaling their operations. Understanding what specific factors contribute to their growth—measured in this study by their current capital—is essential for crafting effective supporting policies.

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Factors Affecting the Current Capital of MSEs: A Multiple Linear Regression Approach

Introduction