Promoting competitiveness, economic growth and employment
Sustainable and Inclusive Economic Development for Decent Employment in Nigeria – SEDIN IV
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Client
German Federal Ministry for Economic Cooperation and Development (BMZ)
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Country
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Political sponsors
More
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Runtime
2023 to 2026
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Products and expertise
Economic development and employment
Context
Many people in Nigeria are either unemployed or underemployed. Inflation is putting additional pressure on the income of many households.
Micro, small and medium-sized enterprises (MSMEs) generate around half of the country's economic output and employ more than three-quarters of its workers. They are therefore an important factor in creating jobs.
However, an unfavourable economic policy framework, insufficient entrepreneurial skills and a lack of access to financial services are hindering their long-term development. This in turn limits economic growth and employment opportunities for the country's population.
Objective
Many people in Nigeria are either unemployed or underemployed. Inflation is putting additional pressure on the income of many households.
Micro, small and medium-sized enterprises (MSMEs) generate around half of the country's economic output and employ more than three-quarters of its workers. They are therefore an important factor in creating jobs.
However, an unfavourable economic policy framework, insufficient entrepreneurial skills and a lack of access to financial services are hindering their long-term development. This in turn limits economic growth and employment opportunities for the country's population.
The competitiveness of Nigerian MSMEs – in terms of their ability to create growth and jobs – has improved.
Approach
The project is increasing the competitiveness of MSMEs by focusing on three key areas:
- It is improving the framework for entrepreneurial investment opportunities by promoting public-private dialogue with the national government, as well as individual regions and municipalities. It also develops and publishes basic public documents for MSMEs and optimises advisory structures, particularly with respect to environmentally friendly solutions.
- It is expanding access to financing opportunities for MSMEs to facilitate investment and make them more competitive. To this end, the project offers service providers economic advice on their offerings and makes financing available by 'matchmaking' MSMEs with financial intermediaries.
- It is developing digital skills among MSME employees to give them access to new online markets and digital training opportunities. The project provides advice on registration and certification requirements for export and e-commerce and works with training service providers.
Last update: November 2023