Business

November 23, 2017

SMEDAN transforms 1,500 micro firms into formal sector – DG

SMEDAN transforms 1,500 micro firms into formal sector – DG

PRESENTATION: From left: Executive Director, Small and Medium Enterprises, Bank of Industry, Mr. Waheed Olagunju, Director-General, CPC, Mrs. Dupe Atoki, Statistician-General of the Federation, Dr. Yemi Kale, Minister of Industry,Trade and Investment, Mr. Olusegun Aganga and the Director-General, SMEDAN, Alhaji Bature Umar Masari during the public presentation of the new National Policy on Micro, Small and Medium Enterprises (MSMEs) and the unveiling of the results of the 2013 National MSMEs survey at Nicon Luxury Hotel Abuja.

By Franklin Alli
Small and Medium Enterprises  Development Agency of Nigeria, SMEDAN,  yesterday, said  it has assisted 1,500 micro businesses across three Nigerian states to be active players in the formal sector of the economy.

PRESENTATION: From left: Executive Director, Small and Medium Enterprises, Bank of Industry, Mr. Waheed Olagunju, Director-General, CPC, Mrs. Dupe Atoki, Statistician-General of the Federation, Dr. Yemi Kale, Minister of Industry,Trade and Investment, Mr. Olusegun Aganga and the Director-General, SMEDAN, Alhaji Bature Umar Masari during the public presentation of the new National Policy on Micro, Small and Medium Enterprises (MSMEs) and the unveiling of the results of the 2013 National MSMEs survey at Nicon Luxury Hotel Abuja.

Dr. Dikko Umaru Radda, Director-General/ Chief Executive Officer, SMEDAN disclosed this in Lagos during SMECONNECT 2017, organised for operators in the sector  in collaboration with Footprint to Africa , a media and investment bridge company.  Fielding questions from a cross section of operators, Dikko said that 98 percent of micro businesses in Nigeria are operating in the informal sector of the economy.

“We want to formalize them into the formal sector and we have so far helped 1,500 to be operating in the formal sector through the registration of their businesses with the Corporate Affairs Commission, CAC, opened bank accounts including linkage to financiers for machinery and working capital loans which they are expected to pay back in two years,” he said.

According to him, the micro businesses are being organised into three cooperative groups and the agency has concluded plans to upscale it to seven cooperative groups in each local government in the six geopolitical zones, by 2018/19.

In his welcome address,  Osita Oparaugo, Managing Director, Footprint to Africa, said there are lot of things SMEs operators can achieve through collaboration rather than continuously crying to the government to provide everything. SMEs need collaboration to grow; you shouldn’t rely on the government to provide everything 100 percent, the government can’t do everything; they will do their best, and as SMEs, no finance house will give you money without your business having a structure,” he said.

He said that in today’s global economy, collaboration and exports are key.

“The Nigeria SME Connect seeks to connect small and medium scale business owners with viable partners to enable them  further their business goals and  operations and reach beyond the shores of Nigeria,” he said