The Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) has raised concerns over the low participation of Nigerian businesses in government-backed funding programmes, despite the availability of substantial financial support for micro, small, and medium enterprises (MSMEs).
Director-General of SMEDAN, Charles Odii, disclosed this during a working visit to Falcon Chemicals Ltd in Ogun State, where he assessed the company’s operations as part of the agency’s broader efforts to engage directly with businesses and support their growth.
Odii reiterated the Federal Government’s commitment to improving the business environment, noting that significant investments have been made under the administration of President Bola Tinubu to enhance infrastructure, including road networks and port expansion.
He revealed that over N200 billion has been disbursed in recent years as grants to support nano, small, and medium enterprises across the country. However, he expressed concern that many entrepreneurs are not taking advantage of these opportunities.
According to him, the low level of participation is largely driven by a lack of trust in government programmes, as well as reluctance among business owners to engage with official initiatives. He added that even beneficiaries of such interventions are often hesitant to publicly share their experiences.
“There are funds available, but many businesses are not accessing them,” Odii said, emphasising the need to rebuild confidence and encourage wider participation in government support schemes.
He stressed that proper registration with SMEDAN remains a key requirement for accessing its programmes, noting that registered businesses are better positioned to benefit from funding, training, and other support services aimed at boosting productivity and growth.
Odii also disclosed that the agency is working to strengthen collaboration between business operators and security agencies to create a safer and more enabling environment for enterprises to thrive.
In response, the Managing Director of Falcon Chemicals Ltd, Babatunde Adefarati, described the visit as a welcome development, expressing optimism about the company’s expansion plans and future growth prospects.
SMEDAN maintained that improving awareness, trust, and participation among entrepreneurs will be critical to maximising the impact of government interventions designed to support Nigeria’s MSME sector.
