SMEs’ Poor Access To Capital Worries Experts

Published

13 years ago

March 25, 2013

The Federal Government has been urged to address the constraint of poor access to capital by Small and Medium -scale Enterprises (SMEs).

Experts said that successful resolution of this problem was capable of reducing the high level of unemployment in the country.

The Director General of LCCI, Mr Muda Yusuf, told journalists that the growth of SMEs was being hampered by poor access to loans.

He urged the Federal Government to improve access to loans by SMEs and also improve on the development of the infrastructure.

Lecturer, Department of Economics, University of Lagos, Dr Ernest Odior, said that vibrant SMEs would bring about 40 per cent increase in job creation.

Odior said that many businesses went into extinction due to the poor access to loans and high bank lending rates.

The Chairman, Lagos Chapter of Nigerian Association of Small Scale Industrialists (NASSI), Mr Segun Kuti-George, decried the unwillingness of banks to grant loans to small businesses.

He said that many members of his association now relied on loans from the cooperative societies which were not enough.

The Public Diplomacy Officer, United States Consulate, Mrs Rhonda Watson, said that the Federal Government should increase channels of providing loans to women entrepreneurs.

According to Watson, when women succeed in business, it also spells success for families and the nation.

The Head, Department of Economics, University of Abuja, Prof. Sarah Anyanwu, urged the Federal Government to encourage SMEs and discourage importation of competitive goods.

The Vice President, National Association of Cane Weavers in Lagos, Mr Osoko Ohowetiyi, said that microfinance banks were not willing to give loans to small businesses any longer.

Ohowetiyi said that some business operators could have expanded businesses if they had access to loans.

“We have realised that commercial banks don’t want to give loans to small businesses, but to multinational companies alone.

“The interest rates are too high and when they reduce it for small businesses, the banks give as little as N30,000, which is too small,” he said.

Ohowetiyi appealed to the government to focus more on the activities of the microfinance banks since they were established solely to assist the active poor.

“FCCPC Approves Sale Of Chivita|Hollandia To UAC Nigeria PLC

Published

5 days ago

October 6, 2025

The Tide

UAC of Nigeria PLC (UAC) has announced the completion of it’s in a press release on October 3, 2025, that it has completed the acquisition of Chivita|Hollandia (CHI Limited), following approval from the Federal Competition and Consumer Protection Commission (FCCPC).

Revealing this in a Press Release, at the Weekend, UAC said the transaction, first disclosed on July 30, 2025, involved the transfer of ownership of CHI Limited, a leading Nigerian food and beverage company best known for its market-dominant Chivita juice and Hollandia dairy brands, to UAC.

Commenting on the development, the Managing Director, CHI Limited, Eelco Weber, expressed optimism in the company’s future under UAC’s ownership.

“We are pleased to have received regulatory approval for this transaction. We look forward to a smooth transition and to seeing Chivita|Hollandia thrive under UAC’s ownership,” he said.

Group Managing Director of UAC, Fola Aiyesimoju, highlighted the strategic importance of the acquisition saying “We are excited to officially welcome the Chivita|Hollandia team and brands into the UAC family, and we are eager to work together to build on their strong legacy and market leadership”.

The acquisition is expected to strengthen UAC’s position in Nigeria’s fast-moving consumer goods (FMCG) sector, expanding its footprint into the growing juice and dairy markets.

UAC further said that the acquisition aligned with its growth agenda by adding two market-leading brands and a well-established distribution network to its por.

Business

PenCom Reintroduces Gratuity For Federal Civil Servants

Published

5 days ago

October 6, 2025

The Tide

The National Pension Commission has said it has deployed a framework to restore gratuity for Federal Civil Service under the Contributory Pension Scheme.

Director-General of PenCom, Omolola Oloworaran, disclosed this at a Stakeholders’ Conference on the Workings of the Contributory Pension Scheme (CPS) for Employees and Pensioners of Federal Government Treasury-Funded Ministries, Departments and Agencies, in Abuja, last Thursday.

Represented by the Acting Commissioner, Technical, PenCom, Hon. Hafiz Kawu Ibrahim, Oloworaran said, “Working with the office of the Head of the Civil Service, a framework has been developed to restore gratuity benefits for federal workers under CPS, in line with Section 4(4) of the PRA 2014.”

The PenCom DG added that “PenCom has enhanced pensions for over 241,000 retirees, representing 80% of those under Programmed Withdrawal. Monthly pensions rose from N12.157 billion to N14.837 billion, effective June 2025.

“Also, since July 2025, no retiree waits to access their pensions. Payments are now immediate, aligned with monthly salary releases from the Federal Ministry of Finance”.

Also speaking, the Chairman of the National Salaries, Income and Wages Commission, Ekpo Nta, stated that the Commission would partner PenCom to examine the current rate of retirement benefits and recommend appropriate mechanisms for periodic reviews of retirement benefits.

Business

CAC, SMEDAN To Register 250,000 MSMEs Free ……..As CAC Forfeits ?3b In Fees Nationwide

Published

5 days ago

October 6, 2025

The Tide

The Corporate Affairs Commission (CAC) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) have announced a joint initiative to register 250,000 Micro, Small, and Medium Enterprises (MSMEs) free of charge across the country, with CAC foregoing about ?3 billion in registration fees

The initiative, announced during the signing of a Memorandum of Understanding (MoU) in Abuja, at the Weekend, seeks to remove barriers such as high costs and bureaucratic challenges that have long kept many small businesses in the informal sector.

The Registrar-General, CAC, Hussaini Ishaq Magaji, SAN, explained that the scheme would eliminate the registration fee, helping entrepreneurs access official recognition and grow their businesses.

SMEDAN Director-General, Dr. Charles Odii, added that registration is just the first step, noting that registered businesses will benefit from continuous aftercare such as grants, training, and market access.

Together, the two agencies noted that CAC will forgo approximately ?3 billion in registration fees, while SMEDAN will provide continuous support to help these businesses thrive.

They added that this partnership supports the Federal Government’s Renewed Hope vision to boost Nigeria’s economy by empowering entrepreneurs.

CAC further disclosed measures to ease company registration with the steps as follows: 1. Visit the SMEDAN portal: http://portal.smedan.gov.ng., 2 Sign up and complete your registration on the portal., 3. When asked if you have a CAC number, select “No”., 4. Submit your details to complete the process., 5. Once registration is completed, you will be contacted with the next steps to finalise your free CAC registration.

It further clarified that MSMEs already on SMEDAN’s database without CAC registration automatically qualify for this free registration drive.