In a landmark move to improve access to finance for small and medium-sized enterprises (SMEs), the Lagos State Government (LASG) is set to sign a Memorandum of Understanding (MoU) with the Bank of Industry (BOI) and Sterling Bank on Wednesday, May 7, 2025, at Adeyemi Bero Hall, Alausa, Ikeja.
The agreement will kick off the Lagos State Access to Finance for SMEs through Co-operatives (LASMECO) programme—an innovative public-private financing initiative targeting key sectors such as healthcare, agriculture, manufacturing, creative industries, and the circular economy.
According to Hon. Folashade Ambrose, Commissioner for Commerce, Cooperatives, Trade and Investment, LASMECO will offer non-collateralised loans of up to N10 million at a 9% interest rate, with a tenor of 2–3 years. The loans will be 50% guaranteed by Sterling Bank, reducing the financial burden on beneficiaries.
Governor Babajide Sanwo-Olu will officially launch the initiative, with participation from top stakeholders, including BOI Managing Director Olasupo Olusi, Sterling Bank CEO Abubakar Suleiman, MAN President Dr. Francis Meshioye, and LCCI President Gabriel Idahosa.
Ambrose described the scheme as a “game changer” for Lagos SMEs, aiming to democratise access to affordable finance and foster sustainable business growth across the state.
