NCGC and SMEDAN Partner to Boost Funding Access for Small Businesses

The National Credit Guarantee Company Limited (NCGC) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) have entered into a strategic partnership aimed at improving financial access for Micro, Small, and Medium Enterprises (MSMEs) across the country.

Through a Memorandum of Understanding signed in Abuja, the two organizations intend to address the persistent challenge of securing affordable financing, a primary barrier for many small businesses.

The collaboration focuses on enhancing the creditworthiness of MSMEs, promoting financial literacy, and providing credit guarantees to encourage lending from financial institutions. By implementing these capacity-building programs, both agencies hope to empower small businesses to scale their operations, drive innovation, and boost job creation.

Dr. Bonaventure Okhaimo, Managing Director and CEO of the NCGC, described the agreement as a vital step in supporting the federal government’s broader economic agenda. He noted that since its inception, the NCGC has already facilitated over N32 billion in credit and provided more than N13 billion in guarantees, which have collectively supported nearly 1,500 businesses and helped secure thousands of jobs.

The Director-General of SMEDAN, Mr. Charles Odii, welcomed the partnership, emphasizing that it would allow the agency to better leverage existing financial resources for the benefit of micro and small enterprises. He stated that the joint effort would play a significant role in fostering inclusive economic growth and strengthening the resilience of Nigeria’s entrepreneurial sector.

Beyond providing direct financial support, the initiative will also include awareness campaigns and stakeholder engagement activities to educate business owners on how to effectively navigate financing opportunities and manage credit risk.