Course : Entrepreneurship
Matric No :2022011904
Entrepreneur refers to small businesses or start–,ups that requires little amount of money to establish. These businesses are very important to Nigeria’s economic growth and development.
However, because of their small nature and lack of access to finance, they need the support of government agencies to start and also grow.
According to Victor Odeyemi in MSME Africa, they are also referred to as Small and Medium Enterprises (SMEs) and are the biggest drivers of the Nigerian economy.
Entrepreneurs like other large businesses drives innovation, creates jobs, and fosters wealth distribution. With a diverse market and abundant resources, entrepreneurs plays a pivotal role in reducing unemployment, enhancing local industries, and ultimately contributing to the country’s overall economic stability and prosperity.
For entrepreneurship to grow and contribute to the Nigeria’s economy,
business-enabling environment must be created for them and they must be supported.
Below are four Nigerian government agencies that support entrepreneurship growth or financing :
1, Small and Medium Enterprises Development Agency of Nigeria (SMEDAN).
It was established through the SMIDA Act 2003. It is the apex Federal government agency for small businesses and it is charged with developing a well-organised and efficient Micro Small and Medium Enterprises (MSMEs) sector in Nigeria that will contribute to the country’s long-term economic progress.
SMEDAN’s main objectives include providing support services, training, and capacity building to SMEs, facilitating access to finance, promoting entrepreneurship culture, and enhancing the competitiveness of Nigerian SMEs in both local and international markets.
SMEDAN offers a range of programmes and initiatives aimed at supporting small and medium-sized enterprises (SMEs) in Nigeria. Some of these include the recently added MSME Mass Registration Programme (MMRP), the SPX Programme, HP LIFE programme, National Enterprise Development Program (NEDEP), One Local Government, One Product (OLOP), National School Entrepreneurship Programme (N-SEP), SMEDAN Loans, SMEDAN/Sterling Bank Matching Fund Programme, Subsidized Business Development Services (BDS) For Micro And Small Enterprises and the Women on Self Employment Programme (WISE-P).
These programmes and initiatives collectively aim to enhance the competitiveness, sustainability, and growth of SMEs in Nigeria, contributing to the overall development of the country’s economy.
2, Next is the Bank of Industry (BOI). In Nigeria BOI plays a significant role in financing entrepreneurs by providing financial support to various sectors of the economy.
As Nigeria’s primary development finance institution, BOI focuses on promoting industrialisation and economic growth and offers a range of financial products and services to entrepreneurs, startups, and existing businesses, including loans, equity financing, and guarantees.
BOI offers several loan programmes and financial assistance to support small businesses.Some of these programmes include : the Youth Entrepreneurship Support Programme (YES-P), Bottom of the Pyramid (BOP) Fun, Cottage Agro Processing (CAP) Fund, Food & Agro Commodity Processing Fund, Livestock and Livestock Processing Fund, Nigerian Content Intervention (NCI) Fund, Smallholder Farmer Cluster Financing Programme, Solar Energy Fund, the Government Enterprise and Empowerment Programme, Anchor Borrowers’ Programme (ABP), Fintech Digital Lending, BOI/Aliko Dangote Foundation Fund, NADDC Fund, BOI Engineering and Technology Funds, Artisanal Miners Intervention Funds, the CBN Textile Intervention Fund, CBN Textile Revival Intervention Fund, BOI Fashion and Beauty, and the BOI Fashion Fund.
3, Corporate Affairs Commission (CAC) is one of the Federal Government agencies that is supporting entrepreneurship by overseeing the registration and regulation of MSMEs, companies and business entities.
It facilitates the formalization of businesses, making it easier for entrepreneurs to establish legal entities, access funding, and engage in legitimate commercial activities.
The CAC also promotes transparency, accountability, and investor confidence through its regulatory functions, which contribute to a more conducive environment for entrepreneurship to thrive in Nigeria.
4, The Central Bank of Nigeria (CBN) promotes entrepreneurship in Nigeria by implementing policies that support access to finance and provide targeted funding for SMEs and entrepreneurs.
Through initiatives like the Entrepreneurship Development Centers (EDCs) and the Anchor Borrowers’ Program in partnership with SMEDAN, the CBN aims to enhance financial inclusion, provide affordable credit, and encourage the growth of SMEs to drive economic development and job creation.
CBN provides development financing in programmes such as the Micro, Small and Medium Enterprises Development Fund (MSMEDF), Sabi Money, Agricultural Credit Guarantee Scheme Fund (ACGSF), the Small and Medium Enterprises Equity Investment Scheme (SMEEIS), and the Youth Entrepreneurship Development Programme(YEDP)..
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