The Minister of State for Industry, Federal Ministry of Industry, Trade and Investment, Sen. John Owan Enoh, has stated that inadequate infrastructure, limited access to finance, and weak institutional support system, have posed a constraint on the potential of MSMEs to create jobs, stimulate innovation, support local value addition, and drive exports.
Sen. Enoh made the disclosure at the 20th International MSME Summit organised by Nigerian Association of Small and Medium Enterprises (NASME), with the theme: Revolutionising Job Creation, Income Generation, and Poverty Reduction Through MSME Development and Growth.
The Minister stated that President Tinubu’s administration recognizes these challenges and remains committed to implementing reforms and interventions that will enable MSMEs to thrive in an increasingly competitive global environment.
He stressed that to strengthen the MSMEs ecosystem, the Ministry is promoting the development of industrial clusters and incubation centers as key catalysts for sustainable growth and competitiveness, providing shared infrastructure, reducing operational costs, enhancing productivity, and creating an environment where businesses can innovate, collaborate, and scale.
“Our focus is to create an enabling ecosystem where MSMEs are empowered to generate employment, drive income growth, and reduce poverty. The Ministry, in collaboration with key MDAs, is advancing policies and programmes that promote entrepreneurship development, capacity building, enterprise formalization, and market access. We are strengthening partnerships with the private sector, development partners, and sub-national governments to expand opportunities for young people, women, and new entrants into the business space.
“In line with the Ministry’s commitment to strengthening the MSMEs ecosystem, the Ministry is promoting the development of industrial clusters and incubation centers. These systems are key catalysts for sustainable growth and competitiveness, providing shared infrastructure, reducing operational costs, enhancing productivity, and creating an environment where businesses can innovate, collaborate, and scale. Through industrial clusters, MSMEs gain access to power, water, workspace, logistics, and technology-critical resources that are mostly out of the reach and affordability of individual small enterprises.
“Similarly, our incubation centers serve as hubs for grooming start-ups, providing mentorship, technical assistance, digital support, and access to funding, which are essential for transforming ideas into sustainable businesses and building global competitive enterprises.”
Continuing he added: “The Federal Government remains committed to intensifying efforts to:
Strengthen MSME financing mechanisms, expand cluster development across states and regions
Enhance synergy between agencies such as SMEDAN, NEPC, and NIPC, promote innovation, value addition, and industrial linkages, improve the ease of doing business and eliminate bureaucratic barriers, and drive backward integration to support local production,” noting that no single institution can drive this transformation alone.
Earlier in his remarks, the President of NASME, Dr Abdulrashid Yerima, stressed that MSMEs are not just an economic sector but a powerful philosophy rooted in the belief that every citizen has the potential to create, innovate, and thrive, adding, “They remind us that national development begins with the courage and resilience of ordinary people doing extraordinary things.”
“Across Nigeria, MSMEs continue to demonstrate that prosperity is created when more people participate in the economy. When small businesses thrive, jobs expand, incomes rise, communities flourish, and poverty recedes.
“Job creation will not come from waiting for opportunities, but from enabling our people to become job creators. Poverty will not be reduced by palliatives alone, but by expanding opportunities for enterprise and sustainable income.
“As President of NASME, I reaffirm our resolve to champion supportive policies, deepen partnerships, and strengthen the capacity of MSMEs to compete locally, regionally, and globally.”