CEM REPORT, MSME | To address the issue of funding the Micro, Small and Medium Enterprises Forum (MSMEs Forum) has revealed plans to set up an MSME Bank to cater for the peculiar financing needs of the sector.
The plan which is a five-year strategic plan will address the peculiarities of MSMEs down to the grassroots level and will opportune sector players’ ability to influence government policies.
This is according to the Chairman Board of Trustees of the MSME Forum, Olajide Akinyeme, at the formal inauguration of the Forum in Abuja on Thursday.
“We are also pushing for the establishment of MSMEs Bank. Because funding is a big problem to MSMEs because a majority of them lack management capabilities.”
“But if we set up our own bank, we know what their challenges are and we will be able to fund them, regulate and grow MSMEs in Nigeria. We plan that the Bank will be the biggest in Africa.”
The chairman while acknowledging the efforts of the government and other institutions that have made attempts to help support the MSME noted that in spite of the huge economic potential of the MSMEs sector in Nigeria, the sector is still largely underdeveloped and under-leveraged.
He however also noted that the laid down policies haven’t really quite gained traction because of a lack of understanding of the peculiarities of MSMEs and the unorganized nature of MSMEs in Nigeria.
“We have about 40 million MSNEs and they are wallowing in poverty because we fail to understand the contribution of the sector to the economy. The policies of the government, though good and robust, their impacts haven’t been felt because the sector is not organised. They fail to come together and speak with one voice”
Speaking on the composition of the MSMEs Forum, he said there are over 165 MSMEs associations registered with the Forum.
The Micro, Small and Medium Enterprises Forum (MSMEs Forum) is the umbrella body for all MSMEs registered associations in Nigeria. Registered with Corporate Affairs Commission in September 2018.