FG registers over 500,000 MSMEs in national database, targets millions more

The Federal Government has registered more than 500,000 Micro, Small and Medium Enterprises (MSMEs) in a national database to improve industrial planning, strengthen policy decisions and expand business support across Nigeria. The Minister of Industry, Trade and Investment, Dr. Jumoke Oduwole, disclosed this at the 17th National Council on Industry, Trade and Investment held in Enugu.

She said the initiative is part of the government's broader plan under the Renewed Hope Agenda to accelerate industrialisation, attract investments and increase Nigeria's non-oil exports.

What the database will do

According to Oduwole, the database will give the government more reliable information about businesses and their operations across the country. She explained that the data would help authorities develop more targeted interventions, improve businesses' access to funding and formulate policies that respond more effectively to the challenges facing MSMEs.

The minister said the initiative is also aimed at creating a more competitive and inclusive economy driven by accurate and accessible data.

MSMEs and the economy

Nigeria is estimated to have more than 40 million MSMEs, with a significant number operating informally. The sector contributes about 48 per cent to the country's Gross Domestic Product (GDP) and provides roughly 86 per cent of national employment.

Despite their major contribution to the economy, Nigerian MSMEs continue to face serious challenges, including an estimated N13 trillion financing gap. Businesses also contend with high inflation, unreliable electricity and difficulties accessing affordable credit, limiting their ability to expand and create more jobs.

Government interventions and investment figures

Oduwole highlighted some of the government's recent efforts to support businesses, saying Nigeria has attracted more than $50 billion in Foreign Direct Investment (FDI) commitments. She added that the country recorded $6.1 billion in non-oil exports, while more than N600 billion has been disbursed through the Bank of Industry (BOI) to businesses in strategic sectors.

The minister further disclosed that almost 300,000 Nigerians have benefited from government-backed skills development initiatives aimed at strengthening workforce capacity and improving productivity.

She said the various interventions demonstrate progress toward the administration's ambition of building a $1 trillion economy through higher production, increased investment, stronger exports and expanded employment opportunities. Oduwole added that strengthening MSMEs remains crucial to achieving these objectives, given the sector's significant role in employment creation, economic activity and industrial development.

For Nigerian businesses, the national database could mean better targeted government support and a clearer path to funding. But with the sector still facing a N13 trillion financing gap, the real test will be whether the data translates into cheaper credit and more reliable infrastructure for the millions of MSMEs yet to be captured.