Vice President Kashim Shettima has acknowledged that over 80% of Nigerians in the labour force would not be employed if it weren’t for the country’s Micro, Small, and Medium-Sized Enterprises (MSMEs).
Shettima made this revelation on Thursday in Abuja during the World Day celebration and international dialogue. The vice president, accompanied by President Ibrahim Hassan Hedejia’s deputy chief of staff, stated that MSMEs, which comprise 96% of Nigeria’s business, contribute 46% of the country’s GDP.
He added,
“Without MSMEs, 80 per cent of the workforce will be without employment, which is why there is a need to ensure that single-digit financing is sustained for MSMEs across all sectors of the economy.”
According to a Daily Trust report, Hadejia added that in order to guarantee that MSMEs have access to inexpensive financing and loans, the federal government is now collaborating with the African Union and other organizations.
Also speaking, Dr Monique Nsanzabaganwa, the deputy chairperson of the African Union Commission, announced that by 2030, the AU aims to unlock $100bn for women and youths in MSMEs so they can access different markets and job opportunities.
He added that the African Union Commission will bring a coordinated approach such as governments, private sector among others and to champion single digit financing for African MSME.
Earlier in his remarks, the Special Assistant to the President on Job Creation and MSMEs, Temitola Adekunle-Johnson, noted that the federal government led by President Bola Tinubu is championing a conducive atmosphere for MSMEs to thrive, adding that the “RAPID programme through the BOI is to disburse credit to enterprises at single digit on a 3-year tenure and moratorium of six months.”
Earlier, Doris Uzoka-Anite, Nigeria’s Minister of Industry, Trade, and Investment, announced that the federal government will begin disbursing N150 billion in loans to micro, small, and medium enterprises (MSMEs) by the end of July 2024.
She also revealed that Nigerians still have opportunities to apply for the Presidential Conditional Grant Scheme.
Speaking to the development, Judith Ekong, a Nigerian citizen said that Nigeria in its current state actually need the form of support. She, however, worries about how the fund can get to those who actually need it.
She said,
“I hope this isn’t another form of strategy to facilitate corruption. This is what they have been saying ever since this administration came in and up till date, I am yet to benefit from any of the schemes. Who exactly receiving this fund?”
TheNGblog reported that the vice president of Nigeria, Kashim Shettima, has said that Micro, Small, and Medium Enterprises (MSMEs) across the country should be seen as a means of job creation and a solution to some of the security challenges facing the nation.
Speaking at the International Dialogue on Financing MSMEs in Africa to commemorate the 2024 World MSMEs Day, the vice president said that with oil revenue slipping from 6.6 percent in 2022 to about 5.2 percent in 2023, there is a need to harness the numerous benefits of MSMEs.
Legit.ng attended the event, which was themed ‘Call to Action: Provision of Sustainable Single-Digit Loans for MSMEs’ and organized by the Office of the Senior Special Assistant to the President on Job Creation and MSMEs in collaboration with the African Union Commission.
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