Financial inclusion for small businesses is a crucial topic that has gained significant attention in recent IELTS Writing Task 2 exams. Based on analysis of past exam trends and expert predictions, this subject is likely to appear frequently in future tests. Let’s explore a relevant question that has appeared in recent IELTS exams and provide sample essays for different band scores.
Some people believe that governments should focus on providing financial support to small businesses to promote economic growth. Others think that governments should use taxpayers’ money for other purposes. Discuss both these views and give your own opinion.
Analysis of the Question
This question requires candidates to discuss two contrasting views on government financial support for small businesses. It’s essential to:
- Explain why some people support government funding for small businesses
- Discuss reasons why others believe taxpayers’ money should be used elsewhere
- Provide your personal opinion on the matter
Remember to maintain a balanced approach while presenting both viewpoints before stating your stance.
Sample Essay 1 (Band 8-9)
Small businesses are often considered the backbone of many economies, and their role in promoting economic growth is undeniable. While some argue that governments should prioritize financial support for these enterprises, others believe that public funds should be allocated to different sectors. This essay will examine both perspectives before presenting my view on this contentious issue.
Proponents of government financial assistance for small businesses argue that such support can stimulate economic growth and job creation. By providing loans, grants, or tax incentives, governments can help entrepreneurs overcome initial financial hurdles and establish sustainable ventures. This approach can lead to increased innovation, diversification of the economy, and a more resilient business landscape. Furthermore, thriving small businesses can contribute significantly to local communities, fostering social cohesion and reducing economic disparities.
Financial support for small businesses driving economic growth
On the other hand, those who oppose this view contend that taxpayers’ money should be directed towards other essential areas such as healthcare, education, or infrastructure development. They argue that these sectors have a more direct and immediate impact on citizens’ well-being and the overall quality of life. Additionally, critics point out that government intervention in the private sector can lead to market distortions and unfair competition, potentially hindering long-term economic efficiency.
In my opinion, while both arguments have merit, I believe that a balanced approach is necessary. Governments should provide targeted financial support to small businesses, particularly in sectors with high growth potential or those addressing critical societal needs. However, this support should be complemented by investments in other crucial areas to ensure holistic national development. By striking this balance, governments can foster a conducive environment for small business growth while simultaneously addressing broader societal needs.
role of banking in supporting small businesses
In conclusion, the debate over government financial support for small businesses versus allocation to other sectors is complex and multifaceted. While small businesses play a vital role in economic growth, other areas also demand attention and resources. A nuanced approach that combines targeted support for small businesses with investments in essential public services is likely to yield the best outcomes for society as a whole.
(Word count: 377)
Sample Essay 2 (Band 6-7)
The question of whether governments should provide financial support to small businesses or use taxpayers’ money for other purposes is a topic of much debate. This essay will discuss both views and give my opinion.
Some people think that governments should focus on giving financial help to small businesses. They believe this is important for economic growth. Small businesses can create jobs and help local communities. When they get financial support, they can grow and become more successful. This can lead to more money for the economy and better opportunities for people.
However, others argue that the government should use taxpayers’ money for other things. They think that areas like healthcare, education, and infrastructure are more important. These areas affect everyone in society, not just business owners. They believe that improving these services can have a bigger impact on people’s lives.
financial inclusion in developing countries
In my opinion, I think both views have good points. Small businesses are important for the economy, but other areas need attention too. I believe the government should try to balance both. They could give some support to small businesses, especially in important industries. But they should also make sure there is enough money for other essential services.
To conclude, the government needs to carefully consider how to use taxpayers’ money. Supporting small businesses can help the economy, but investing in other areas is also crucial for society. A balanced approach that considers both might be the best solution.
(Word count: 253)
Sample Essay 3 (Band 5-6)
Some people think governments should give money to small businesses to help the economy grow. Other people think the government should use money from taxes for other things. I will talk about both ideas and give my opinion.
People who want the government to help small businesses say it’s good for the economy. Small businesses can make jobs and help local areas. If they get money from the government, they can grow bigger and make more money. This can help the whole country’s economy.
But some people think the government should use money for other things. They say things like hospitals, schools, and roads are more important. These things help everyone, not just business owners. They think making these things better will help people more.
impact of digital currencies on financial inclusion
I think both ideas are important. Small businesses are good for the economy, but other things are important too. Maybe the government can do both. They can give some money to small businesses and also spend money on other important things.
In conclusion, the government has to think carefully about how to use money from taxes. Helping small businesses is good, but other things are important too. Maybe they can find a way to do both.
(Word count: 206)
Explanation of Band Scores
Band 8-9 Essay:
- Fully addresses all parts of the task with a well-developed response
- Presents a clear position throughout the response
- Uses a wide range of vocabulary with very natural and sophisticated control of lexical features
- Uses a wide range of structures with full flexibility and accuracy
- Demonstrates a logical organizational structure with clear progression throughout
Band 6-7 Essay:
- Addresses all parts of the task, though some parts may be more fully covered than others
- Presents a relevant position, though conclusions may become unclear or repetitive
- Uses an adequate range of vocabulary for the task, with some inaccuracies
- Uses a mix of simple and complex sentence forms
- Arranges information coherently with clear overall progression
Band 5-6 Essay:
- Addresses the task only partially; format may be inappropriate in places
- Expresses a position but development is not always clear
- Uses a limited range of vocabulary, with some repetition and inappropriate word choice
- Uses a limited range of structures with some errors that may impede communication
- Presents information with some organization but there may be a lack of overall progression
Importance of financial inclusion for small businesses
Key Vocabulary to Remember
Financial inclusion (noun) /faɪˈnænʃəl ɪnˈkluːʒən/ – The availability and equality of opportunities to access financial services.
Economic growth (noun phrase) /ˌiːkəˈnɒmɪk ɡrəʊθ/ – An increase in the amount of goods and services produced per head of the population over a period of time.
Stimulate (verb) /ˈstɪmjuleɪt/ – To encourage or cause something to happen or develop.
Resilient (adjective) /rɪˈzɪliənt/ – Able to withstand or recover quickly from difficult conditions.
Intervention (noun) /ˌɪntəˈvenʃn/ – The action or process of intervening, especially by a government in an economic system.
Holistic (adjective) /həˈlɪstɪk/ – Characterized by the belief that the parts of something are interconnected and can be explained only by reference to the whole.
Multifaceted (adjective) /ˌmʌltɪˈfæsɪtɪd/ – Having many different aspects or features.
Nuanced (adjective) /ˈnjuːɑːnst/ – Characterized by subtle shades of meaning or expression.
Conducive (adjective) /kənˈdjuːsɪv/ – Making a certain situation or outcome likely or possible.
Allocation (noun) /ˌæləˈkeɪʃn/ – The action or process of distributing resources or funding for a particular purpose.
In conclusion, the topic of financial inclusion for small businesses is likely to remain relevant in future IELTS Writing Task 2 exams. To prepare effectively, practice writing essays on related themes such as government support for businesses, economic growth strategies, and the balance between public and private sector development. Remember to analyze the question carefully, present balanced arguments, and support your ideas with relevant examples and vocabulary.
We encourage you to practice writing an essay on the given topic and share it in the comments section below. This active engagement will help you improve your writing skills and prepare more effectively for the IELTS exam.