MSMEs Drive Nigeria’s Economy, Contributing 50% Of GDP & 84% Of Jobs – Minister
By OBI DAVIES
MICRO, small and medium enterprises (MSMEs) contribute about 50% of Nigeria’s GDP and account for over 84% of jobs, Minister of Industry, Trade and Investment Jumoke Oduwole said in Abuja on Friday.
Speaking at the launch of Moniepoint’s 2025 Nigerian Informal Economy Report, Oduwole noted that Nigeria hosts more than 39 million MSMEs, representing 96% of all businesses, and praised their role in sustaining the economy despite structural challenges.
She described the informal sector as the “heart of Nigeria’s resilience and enterprise,” while reaffirming government’s commitment to improving access to finance, easing business registration, and supporting entrepreneurs under the African Continental Free Trade Area (AfCFTA) framework.
The minister highlighted new trade incentives, including duty-free access for Nigerian goods across Africa and the Adegboye Export Corridor with Uganda Air, which offers up to 75% reductions in cargo costs to 13 African countries.
Moniepoint’s report showed that 65% of informal businesses recorded revenue growth last year, though only 47% saw higher profits due to rising costs. It identified limited finance, weak infrastructure, and low digital adoption as key challenges, urging targeted support to sustain the sector’s vital role in Nigeria’s economy.
