The federal government has reaffirmed its dedication to repositioning Nigeria’s micro, small, and medium enterprises (MSMEs) as the foundation of economic transformation.
Vice President Kashim Shettima made this announcement at the 6th Annual Lecture of the Development Bank of Nigeria (DBN) held in Abuja on Thursday. The vice president, represented by the Special Adviser to the President on Economic Affairs (office of the VP), Dr. Tope Fasua, emphasized that MSMEs are central to the administration’s Renewed Hope Agenda.
He pointed out that, in addition to policy reforms, institutions like DBN play a vital role in ensuring that entrepreneurs throughout Nigeria have access to the necessary resources to succeed.
“MSMEs are not marginal players; they are the essential core of our economy, responsible for over 80 percent of employment and making a substantial contribution to GDP. As the government offers policy clarity and supportive infrastructure, institutions such as DBN are crucial partners in turning vision into reality,” Shettima stated.
The Vice President outlined President Tinubu’s reform agenda, which includes the removal of fuel subsidies, unification of foreign exchange, renewal of infrastructure, investment in human capital, and global engagement, noting that these initiatives are intended to stimulate enterprise, attract investment, and broaden opportunities for small businesses.
In his welcome address, DBN Managing Director/CEO, Dr. Tony Okpanachi, mentioned that the Bank has disbursed over ₦1.1 trillion to MSMEs through 79 participating financial institutions, benefiting more than 700,000 businesses across the nation by December 2024.
Okpanachi emphasized that DBN serves a role beyond mere financing, characterizing it as “a convener of ideas, a builder of capacity, and a partner in national transformation.”
Additionally, Charles Odii, the Director-General of the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), revealed new policies aimed at enhancing the global competitiveness of Nigerian SMEs. He pointed out four strategic initiatives: regulatory reforms to facilitate export access, the provision of shared infrastructure such as garment hubs, financial and non-financial support for growth, and innovative logistics collaborations with companies like God Is Good Logistics and Lifeworks.
“These are the small yet significant measures we are implementing to ensure our SMEs are not only visible on the global stage but also competitive,” he remarked, highlighting that Nigeria’s recent accolade of “Best Pavilion” at the International Africa Trade Fair emphasizes the importance of maintaining this momentum.
The keynote speaker at the event, Kenyan entrepreneur Flora Mutahi, encouraged African businesses to adopt scaling as a strategic approach to tackle youth unemployment throughout the continent. She cautioned that while ten to twelve million young people enter the job market each year, only three to four million formal jobs are generated.
Participants at the lecture, including policymakers, entrepreneurs, and development financiers, concurred that the future of Nigeria’s economy is closely linked to the prosperity of its small businesses.
