Nigeria’s Matilda Ndu Mmegwa has been announced as the 2025 winner of the UK Research and Innovation (UKRI-ESRC) Impact Award, a recognition that underscores Nigeria’s growing contribution to global research excellence in sustainable finance.
The award, conferred under the Coventry University ESRC-IAA postgraduate research programme, honours Mmegwa’s doctoral research titled, ‘Driving growth for SMEs via the use of sustainable finance: the case of Nigeria’.
The research addresses one of the most pressing challenges facing Africa’s largest economy.
The ESRC-IAA Panel of Expert Reviewers described the research as having an “extremely impressive list of beneficiaries and as being remarkably ambitious in scope.
Mmegwa’s research work critically examines how Nigeria can leverage sustainable finance to transform its small and medium enterprises, which remain constrained by significant finance gaps, unfavourable policies and informality despite its potential to drive economic growth and job creation.
The research comes at a crucial time as global investors increasingly favour sustainable businesses and finance mechanisms, while traditional financing options remain expensive and short-term, particularly for SMEs in emerging markets.
“Although SMEs have the potential to contribute significantly to addressing these challenges, they face major hindrances, including ease of doing business, unfavourable policies, informalities, and a significant finance gap. Traditional finance is expensive and short-term, and the global shift to sustainability has increased investors’ eco-consciousness, making them prefer sustainable finance (SF) and sustainable businesses,” awardee aid.
The research identifies key actors in the ecosystem, including banks, alternative finance suppliers, SMEs, corporate entities with supply chains, enablers, stakeholders and policymakers, providing a framework for collaborative action.
Central to Mmegwa’s recommendations is the digital transformation of sustainable finance distribution channels on both supply and demand sides to de-risk SMEs and improve ecosystem efficiency.
Significantly, the research challenges the prevailing policy approach of relying primarily on government-funded grants and intervention funds. Instead, Mmegwa advocates for comprehensive ecosystem-based policies that catalyse sustainable finance enablers to support banks in driving local sustainable finance for SME growth.
The implications of this research extend beyond the financial sector to Nigeria’s broader development objectives. By addressing the SMEs’ finance gap, the country could unlock significant potential for job creation, skills development, and improved competitiveness in critical sectors, including technology, healthcare, agriculture, and renewable energy.
