1.1 BACKGROUND OF THE STUDY
In the past financial management was concerned with the raising of funds whenever the need arises and much attention was not paid to the uses of the funds so raised. But in recent times there had been a change. The emphasis shied from financing to the managerial financial problem from only raising of funds to efficient and effective use of funds. As a result of this widening in scope of financial managers and others entrusted with the management have equally increased. It is no longer the issue of providing funds but it’s provision in good time for the right length of time and it’s correct use or application. In light of this, it is necessary to investigate how these financial mangers are achieving this having known that public funds are often times misconceived by some people as no body.
Funds and as a result should not be cared for. The researchers choice of the industry for this study is mainly because of this believe that life bear posses the major feature, of any typical industry financed with the public funds in Nigeria. These features include the acquisition of funds from investors over time it’s investment, the expectation of returns by the firms on investment over time and the periodical distribution of these return to the investors (share holders) in the form of dividend. In view of these special feature, the researcher believes that it is a good representation of the public establishment in Nigeria and as such suits the purpose of this study. A case study of Nigeria Life Breweries Aba, Abia State will therefore provide a birds eye views of the industries financial by the public fund in the country Nigeria.
1.2 STATEMENTS OF THE PROBLEM
In the light of the current economic problems of Nigeria. Visa-viz. the devastated economy, the financial mangers especially those concerned with the management of public funds invested in industries are faced with a lot of problems. The issue of raising adequate funds as well as the application of the funds so raised is no longer an easy one. These problems ranges from lack of spare parts, high cost of foreign exchange of which result in high cost of production unpredictable and inconsistent Federal Government Policies (Monetary and Fiscal) Campaign for backward integration etc. All these had been more prominent since the introduction of SAP.