To drive long-term economic development, the Federal Government of Nigeria has unveiled a multi-pronged approach to enhance financing and sustainability for Micro, Small, and Medium Enterprises (MSMEs) in Nigeria. 

This initiative, spearheaded by Vice President Kashim Shettima, includes establishing a specialized committee and introducing a syndicated de-risked loan scheme to ease small businesses' access to finance.

At the first meeting of the National Council on MSMEs for 2025, held at the State House, Abuja, key stakeholders across government agencies, financial institutions, and the private sector converged to chart a new course for small business growth. 

The newly formed committee, chaired by the Minister of State for Industry, Trade and Investment, Senator John Enoh, has been tasked with collaborating with the Central Bank of Nigeria (CBN) and other financial institutions to strengthen credit accessibility for MSMEs.

According to Vice-President Shettima, the Federal Government recognizes its responsibility to foster economic opportunities for small businesses and drive job creation. He emphasized that President Bola Tinubu’s administration is committed to policies that provide long-term support for the MSME sector, ensuring that initiatives outlive political cycles and remain beneficial to Nigerian entrepreneurs.

“Some of these initiatives are laudable and will need to outlive the present administrations in the states. Regardless of political affiliations, Nigerians must be seen to be the ultimate beneficiaries of these schemes that we are trying to put in place," Shettima stated.

As part of this broader effort, the council also approved the syndicated de-risked loan scheme, a financing model designed to reduce lending risks for financial institutions while providing small businesses with access to credit at single-digit interest rates. 

The scheme will be executed in partnership with state governments, which are expected to establish neutral implementation frameworks free from political interference.

The Senior Special Assistant to the President on MSMEs, Mr. Temitola Adekunle-Johnson, described the loan scheme as a “game-changer” that aligns with President Tinubu’s vision of empowering small businesses as engines of economic growth.

Beyond financing, discussions at the meeting also touched on strategic initiatives aimed at strengthening the MSME ecosystem. The Director-General of the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), Mr. Charles Odii, introduced the GROW Nigeria strategy—an intervention designed to provide guidance, resources, opportunities, and workforce support for approximately 40 million small businesses operating in eight key sectors of the economy.

With representatives from major financial institutions, regulatory agencies, and state governments in attendance, the meeting underscored a unified commitment to repositioning Nigeria’s MSME sector as a driver of inclusive economic development. The government’s renewed focus on sustainable financing and structured growth strategies signals a critical shift in its approach to supporting small businesses, ensuring that they remain competitive, innovative, and resilient in the face of economic challenges.