Institute Advocates Reforms To Strengthen Small Businesses

The FATE Institute has emphasised the need for inclusive policy reforms to strengthen Nigeria’s small and medium-sized enterprises (SMEs), ahead of its 11th Policy Dialogue Series, scheduled for Wednesday, November 19, 2025.

Addressing a media briefing in Lagos, Amaka Nwaokolo, Director of FATE Institute, said the organisation exists to bridge the gap between research and policy, ensuring that entrepreneurship continues to drive inclusive growth.

“The Policy Dialogue Series began as a platform for engagement between policymakers, business leaders, researchers, and development partners.”

“Each year’s theme reflects evolving policy priorities, and this year’s focus on industrialisation through enterprise marks a critical shift from entrepreneurship for survival to entrepreneurship for structural transformation, ” Nwaokolo said.

Chairperson of the 2025 PDS Technical Committee, Cecilia Akintomide said, Nigeria’s industrial future depends on the productivity of millions of small businesses.

She called for a bottom-up approach that places SMEs at the heart of industrial value chains rather than focusing solely on large corporations.

“Nigeria’s industrial future won’t be built by a few big players. It will be built by millions of small producers people upgrading their skills, improving productivity, and growing together to power a more inclusive economy, “Akintomide said.

Senior Research Fellow at the FATE Institute, Dr. Wilson Erumebor shared preliminary insights from reports to be launched at the main Dialogue, including the 2025 State of Entrepreneurship in Nigeria Report and Beyond the Hustle: Nigeria’s Industrial Reawakening.

He said, the 2025 State of Entrepreneurship Index rose slightly to 0.47, signaling cautious optimism among entrepreneurs. Youth-led businesses reported growth of 65.8 per cent, while female-led businesses outperformed male-led ventures with 69.2 per cent reporting growth.

Erumebor noted that, only 26.3 per cent of female-led enterprises accessed institutional credit, highlighting persistent structural challenges.

“Entrepreneurs created over 14,000 new jobs this year, yet net employment fell by about 2,300,” Erumebor said. “This shows that despite a challenging economy, SMEs are doing everything they can to survive, grow, and protect jobs.”

Vice-chair of the 2025 PDS Technical Committee and president of the Association of Small Business Owners (ASBON), Dr Femi Egbesola said, SMEs face daily operational challenges, including unreliable power supply, limited access to finance, and inconsistent government policies.

“When small businesses thrive, industries are born, and economies transform,” Egbesola said. “Nigeria’s industrial journey has been top-heavy and bottom-fragile; real change will come when policies actively support SMEs at the grassroots.”

The 11th Policy Dialogue Series aims to provide actionable recommendations for policymakers, business leaders, and entrepreneurs to strengthen Nigeria’s SME ecosystem and advance inclusive industrialisation.