Enhancing MSME Investment Readiness: A Key to Nigeria’s Growth

  The Impact Investment Foundation (IIF) says establishing a centralised digital platform for information sharing and coordination will enhance the effectiveness of Enterprise Support Organisations (ESO) programmes in Nigeria.

Ms Glover Etemore, Chief Executive Officer (CEO) of IIF, asserted on Thursday at an ESO Forum in Lagos.

The event had the theme: “Scalable Pathways for ESOs in Nigeria to Build Micro, Small and Medium Enterprises (MSMEs) Investment Readiness Capacity”.

Etemore said that the forum was a call to action toward unlocking new opportunities for sustainable growth and funding access for ESOs to strengthen Nigeria’s MSME ecosystem.

The CEO said that MSMEs were the backbone of the Nigerian economy, but their investment readiness was frequently questioned, with many of them struggling to secure financing.

She noted that the 2024 mapping and analysis of ESOs in Nigeria by the IIF was a pivotal study launched at the forum.

According to her, the study offers an in-depth assessment of the current landscape of ESOs across key sectors such as healthcare, education and agriculture in Nigeria.

“The study also highlights their crucial role in supporting MSMEs and identifying funding sources to enhance their long-term viability.

“The result provided the foundation with information for building a strong support ecosystem which will guide efforts in creating a more effective support system to knowledge sharing, networking, collaboration innovation, among other things,” the CEO said.

Etemore said that providing MSMEs with funding, knowledge and opportunities to thrive should be a top priority of the Nigerian Government.

She said that the businesses provided 87.9 per cent of employment and contributed about 49.7 per cent of the national Gross Domestic Product (GDP).

She said that despite the $4.2 trillion global finance gaps in critical sectors such as healthcare, education and agriculture, the businesses remained undeterred.

“Therefore, creating an enabling environment for ESOs is vital to building a robust ecosystem for Nigerian MSMEs to contribute toward economic development,” she said.

Ms Alice Dada, Nigeria’s Technical Lead, Research and Innovation Systems for Africa (RISA), said that the report provided a comprehensive view of Nigeria’s ESO ecosystem.

She said it mapped key players, their innovative offerings and strategic priorities.

Dada said that, by strengthening ESOs, the country would unlock greater opportunities for MSMEs, foster economic growth, create jobs and advance innovation.

“One thing we should prioritise is pushing for sustainability because it is one thing to receive support and funding and another to sustain it.

“If you are not able to sustain it for the longer-term impact, then you will fall short in what we are trying to achieve,” she said.

Ms Feyisayo Alayande, Executive Secretary of Lagos State Employment Trust Fund (LSETF), said that empowering MSMEs with the capacity to attract investments was crucial for the growth and economic development of Nigeria.

Alayande was represented by Ms Gbemisola Ladipo, Head of Strategy and Product Development at LSETF.

“At LSETF, our mandate is to create an enabling environment for job and wealth creation in Lagos State.

“We are deeply committed to developing such an environment where entrepreneurs and MSMEs can thrive in the state,” she said.

Alayande said that LSETF recognised the invaluable role ESOs played in nurturing and developing MSMEs.

She said that LSETF programmes included access to finance aimed to bridge the capital gaps.

“We have training and technical programmes targeted at MSMEs so that they can scale up.

“We have a partnership with international business organisations that give us funds to invest in training,” she said.

Alayande added that LSETF had a business support unit which created access to market, financial literacy, digital marketing literacy and other skills for MSMEs in Lagos State. (NAN)