Get Guardian on GoogleSecurities and Exchange Commission (SEC) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) have signed a Memorandum of Understanding (MoU) aimed at improving access to long-term financing for small and medium enterprises (SMEs) through the Nigerian capital market.
The partnership is designed to create alternative sources of capital for the country’s over 40 million registered micro, small, and medium enterprises (MSMEs), helping them grow, create jobs, and contribute to the Federal Government’s $1 trillion economy target.
Speaking at the signing ceremony in Abuja, the Director-General of the SEC, Dr Emomotimi Agama, said the initiative would open new funding routes for SMEs and integrate them into the capital market ecosystem.
He further stated that the collaboration aligned with President Bola Tinubu’s agenda on employment, growth, development, and production, describing it as a critical step toward achieving the administration’s trillion-dollar economy vision.
On his part, SMEDAN Director General, Charles Odii, said the MoU would enable small businesses to overcome the high cost and scarcity of capital by leveraging the capital market.
The agreement between the two agencies seeks to deepen the integration of MSMEs into the formal financial system and help them meet regulatory and governance standards required for market participation.
Among its major benefits, the MoU will improve access to long-term financing by supporting qualifying MSMEs to raise funds through equity or debt securities under SEC regulations.
