THE NIGERIAN JOURNAL OF SOCIOLOGY AND ANTHROPOLOGY
ISSN: 0331-4111 e-ISSN: 2736-075X
Volume 24, No. 2, November 2026
Pages 90-109
DOI: 10.36108/NJSA/6202.42.0260
Institutional Constraints and Women’s Entrepreneurship financing in Oyo State, Nigeria: Implications for Inclusive Economic Growth
Adefolake Olusola Ademuson
Department of Sociology, University of Ibadan, Nigeria
Abstract
Globally, women own and manage more than 200 million businesses. In Nigeria, they constitute over 50% of the entrepreneurial population, highlighting their substantial participation in business activities. Despite these notable contributions, women entrepreneurs continue to encounter numerous challenges, including limited access to finance, sociocultural barriers, inadequate networking opportunities, and restrictive regulatory frameworks. These constraints often undermine their capacity to secure and sustain the financial resources necessary for business expansion and long-term growth. This study, therefore, examined the institutional constraints affecting access to entrepreneurial finance among women entrepreneurs in Oyo State, Nigeria, and explored the implications of these constraints for inclusive economic growth. The study adopted a mixed-methods design and was anchored on the Institutional Theory by Scott. Quantitative data were collected through the administration of structured questionnaires to 140 purposively selected female entrepreneurs and analysed using descriptive and inferential statistical techniques. Additionally, in-depth interviews were conducted with 20 female entrepreneurs and responses were transcribed and analyzed thematically in line with the study’s research objectives. The findings revealed that personal savings, bank loans, and microfinance institutions constitute the primary sources of business financing for women entrepreneurs in Oyo State. Furthermore, certain institutional constraints such as poor laws and regulations, high interest rates, limited access to financial opportunities, and other systemic barriers serve as major impediments to women’s entrepreneurial activities. The study recommends that the Nigerian government should review and streamline existing regulatory frameworks governing business registration and operation, particularly those affecting women-owned enterprises.
Keywords: Gender based institutional constraints, women entrepreneurship finance, Inclusive Economic Growth