The Small and Medium Enterprises Development Agency of Nigeria has unveiled plans to formalise 250,000 additional businesses by the first quarter of 2026 as part of its roadmap for SME growth.
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Objectives of the formalisation drive
SMEDAN aims to increase the number of registered SMEs, which will enhance access to financing, capacity-building programmes, and government support schemes. The agency also anticipates that formalisation will improve data collection for policy design and monitoring.
Officials stated that the broader target is to register up to one million additional enterprises nationwide within the next year. Formal registration also makes businesses eligible for low-interest funding and credit guarantees.
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Funding and support
The agency is brokering approximately N12 billion in funding for SMEs. This includes low-interest loans and grants aimed at strengthening small enterprises across manufacturing, digital services, agribusiness, and trade sectors.
SMEDAN’s strategy emphasises the integration of informal businesses into the formal economy to enhance economic resilience and growth.
Bringing informal businesses into the formal sector is expected to improve credit access, strengthen institutional support, and facilitate sustainable enterprise development.
