Staff Training Needs Assessment and Human Capital Development in Nigerian Microfinance Banks: Evidence from Imo State

This study examines the practice of training needs assessment (TNA) and its implications for human capital development in Nigerian microfinance banks, focusing on institutions in Imo State, South East Nigeria. Microfinance banks play a critical role in financial inclusion and small enterprise support in Nigeria, and the quality of their human capital directly determines their service effectiveness and institutional sustainability. The study adopts a descriptive research design, using questionnaires and semi-structured interviews to collect primary data from 120 staff members and HR officers across eight microfinance institutions in Owerri and its environs. Data are analysed using descriptive statistics and content analysis for qualitative responses. Findings reveal that only a minority of sampled institutions conduct formalised training needs assessments prior to deploying training programmes, resulting in significant resource wastage and skill-gap mismatch. The study also identifies poor documentation of individual competency profiles as a key barrier to effective TNA practice. Respondents who received needs-aligned training reported measurably stronger human capital outcomes, including improved loan appraisal accuracy and customer relationship management skills. Recommendations include the adoption of a standardised TNA framework tailored to the microfinance context, training of HRM officers in TNA methodologies, and the maintenance of dynamic individual skill registries. This research provides sector-specific HRM evidence relevant to policy discussions on human capital in Nigeria's financial inclusion ecosystem. Keywords: Training Needs Assessment, Human Capital, Microfinance, Imo State, Staff Development.