Executive Director, Civic Society Legislative Advocacy Centre, Auwal Musa, has restated the need to support Micro Small and Medium Enterprises (MSMEs) businesses by providing insights, advice, access to finance and reducing liabilities. 

Musa  made this known at a one-day stakeholders capacity building and consultative workshop on fiscal support opportunities for mutual economic growth of MSMEs and private corporations in Lagos. 

According to him, SMEs are the backbone of many developed economies because they are important contributors to employment, output growth and trade expansion. In Nigeria, they remain critical constituents of the economy.

He further stated that obtaining finance is the major pressing challenge MSMEs face in Nigeria and to address this issue, the Nigerian government has helped to fund businesses through a variety of government backed organisations such as SMEDAN, Central Bank of Nigeria, Nigerian Incentive Based Risk Sharing System for Agricultural Lending NIRSAL among others. These agencies were established to assist SMEs in the country.    

Comfort Onyaga, founder, CLICE Foundation/Izanu Africa in her lecture entitled: ‘Financial Sustenance for Viable SMES through preparedness for Access to credit opportunities and protection against financial liabilities,’ noted that SMEs in Nigeria has contributed about 48 per cent of the national Gross Domestic Project in the last years.

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According to her, SMEs are recognised all over the world as the backbone of modern economies because they make contributions to global economic growth and sustainable development through employment generation, poverty alleviation, wealth creation and food security. it is the recognition of the important roles played by SMEs that has resulted in increased attention and sensitisation on opportunities for mutual economic growth of SMEs and private corporations.

Shortage of finance occupies a very central position, Globally, commercial banks which remain the biggest source of funds for SMES have in most cases, shied away because of the perceived risks and uncertainties.

In Nigeria, the fragile economic environment and absence of requisite infrastructure have rendered SMEs practices and operational expenses costly to run and inefficient , thereby worsening their credit competitiveness.

Another speaker, Taiwo Oyedele. Fiscal Policy Partner and Africa Tax Leader, PWC  in his lecture titled Technical and fiscal challenges and opportunities for MSMEs in Nigeria said there is need for strategic and sustainable public private partnerships in the implementation of policies necessary to support MSMEs, diversify the economy, create sustainable jobs, alleviate poverty which must be done with laser focus, clarity of purpose and a sense of urgency. 

The conference provided a platform for increased stakeholder awareness on opportunities and framework provisions for fiscal sustenance and improved productivity, strengthen citizen government advocacy and local engagements opportunities towards improving the enabling environment for ease of doing business for SMEs.