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The Securities and Exchange Commission (SEC) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) have announced a new partnership aimed at expanding small and medium enterprises’ access to Nigeria’s capital market. The move is part of a broader effort to reduce financing bottlenecks and promote sustainable economic growth.
Speaking in Abuja, SEC Director-General Dr. Emomotimi Agama said the collaboration will enable SMEs to leverage the capital market as an alternative funding source beyond traditional banking systems. He noted that SMEs remain the backbone of Nigeria’s economy but often face major hurdles in securing long-term financing.
Dr. Agama explained that SEC will work with SMEDAN to design frameworks that simplify listing procedures, provide investor education, and encourage the development of SME-focused investment products. This includes tailored programs that prepare businesses to meet market standards for transparency and accountability.
SMEDAN’s Director-General, Charles Odii, described the partnership as a “game changer” for small businesses that need access to patient capital. He emphasized that the collaboration will empower entrepreneurs to grow sustainably, create jobs, and contribute more significantly to GDP growth.
Analysts have long argued that Nigeria’s underutilized capital market could serve as a vital engine for small business expansion if barriers such as complex listing requirements and lack of awareness are addressed. This initiative appears to be a direct response to that gap.
The partnership also signals growing public-private cooperation in unlocking SME financing. Both agencies plan to roll out sensitization campaigns and digital tools that connect businesses with potential investors while promoting transparency and accountability in fundraising.
If fully implemented, the SEC-SMEDAN alliance could pave the way for inclusive capital market participation, enabling more small businesses to attract investors, innovate, and compete on a regional scale.
Speaking in Abuja, SEC Director-General Dr. Emomotimi Agama said the collaboration will enable SMEs to leverage the capital market as an alternative funding source beyond traditional banking systems. He noted that SMEs remain the backbone of Nigeria’s economy but often face major hurdles in securing long-term financing.
Dr. Agama explained that SEC will work with SMEDAN to design frameworks that simplify listing procedures, provide investor education, and encourage the development of SME-focused investment products. This includes tailored programs that prepare businesses to meet market standards for transparency and accountability.
SMEDAN’s Director-General, Charles Odii, described the partnership as a “game changer” for small businesses that need access to patient capital. He emphasized that the collaboration will empower entrepreneurs to grow sustainably, create jobs, and contribute more significantly to GDP growth.
Analysts have long argued that Nigeria’s underutilized capital market could serve as a vital engine for small business expansion if barriers such as complex listing requirements and lack of awareness are addressed. This initiative appears to be a direct response to that gap.
The partnership also signals growing public-private cooperation in unlocking SME financing. Both agencies plan to roll out sensitization campaigns and digital tools that connect businesses with potential investors while promoting transparency and accountability in fundraising.
If fully implemented, the SEC-SMEDAN alliance could pave the way for inclusive capital market participation, enabling more small businesses to attract investors, innovate, and compete on a regional scale.