Nigeria’s small and medium-sized enterprises (SMEs) have been urged to move beyond survival mode and embrace innovation, collaboration, and digital transformation as pathways to inclusive growth and long-term sustainability.
This call resonated strongly at the Enterprise Development Centre (EDC) of Pan-Atlantic University’s conference themed “Catalysing the Future: Empowering Small Businesses for Impact and Inclusive Growth,” held Tuesday in Lagos.
Rosy Fynn, Country Director for Nigeria at the Mastercard Foundation, underscored the central role SMEs play in driving Nigeria’s economy and shaping the continent’s future. She noted that 96 percent of Nigerian youth are engaged in the SME sector, which contributes over 96 percent to the nation’s Gross Domestic Product (GDP).
However, Fynn cautioned that systemic barriers such as limited access to finance, markets, tools, and adequate support systems continue to hinder small business growth.
“Small businesses are the heartbeat of communities. When they thrive, entire communities prosper,” Fynn said. “But for them to scale, we must dismantle barriers to access and create ecosystems that enable youth and women to innovate, collaborate, and grow.”
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She explained that the Mastercard Foundation’s “Young Africa Works” strategy aims to create dignified employment opportunities for 10 million Nigerian youths by improving access to finance, digital tools, and market linkages.
“Nigeria alone represents more than 30 percent of our Africa wide target of 30 million people. Of these, seven million will be women, people with disabilities, and internally displaced persons,” she added.
As part of this effort, Fynn revealed that the Foundation has partnered with Ethnocentric in Abia State to support 4,000 SMEs in the leatherwork sector over the next two years through training and access to structured markets.
Another collaboration with Anasi has led to the establishment of a fashion shared services centre in Lekki, equipped with world-class tools accessible to young entrepreneurs at no cost.
“These are the kinds of platforms that empower youth-led SMEs to grow, diversify, and compete globally,” she said.
Fynn also encouraged entrepreneurs to embrace emerging technologies, especially artificial intelligence (AI), as a means to remain competitive.
“AI and other digital tools are here to stay. SMEs must understand customer needs, adapt to changing trends, and use technology to position themselves within the broader ecosystem,” she noted.
Speaking on macroeconomic realities, Adebanjo Adeloyega, an economist, highlighted how tight monetary policies, fluctuating oil prices, and inflationary pressures have affected small businesses. He projected that inflation could ease to around 18 percent by the end of the year but urged entrepreneurs to remain strategic and adaptive.
Goke Balogun, Chief Executive Officer of So Fresh Nigeria, stressed the importance of agility and innovation in business.
“Flexibility and agility are essential. Businesses must constantly assess what works and what doesn’t, improving or innovating as needed,” Balogun said.
On her part, Princess Funmi Bakare, chairperson of FAE, a serial entrepreneur, urged business owners to build systems that allow continuity and sustainability.
“We are swimming in business,” she said. “As entrepreneurs, we must create a niche for ourselves. Can your business exist without you for six months? That’s the real test of structure and sustainability.”
Also speaking, Ugonna Akah, Group Compliance Officer at Moniepoint, advised SMEs to focus on cost management and collaboration.
“Negotiate prices that reflect real costs, and move away from traditional agricultural models to climate-smart systems and yield insurance,” Akah said.
At the end of the conference, participants agreed that the future of Nigeria’s economy lies in the hands of empowered small businesses. With greater access to finance, technology, and collaborative networks, SMEs can transition from survival to sustainability—driving inclusive growth and positioning Nigeria as a continental leader in youth-led enterprise.
