Nigerian Govt Targets 1,000 SMEs for Capital Market Listing to Boost Growth and Job Creation

The Federal Government has announced plans to list at least 1,000 Small and Medium Enterprises (SMEs) on the Nigerian capital market as part of a new drive to expand access to long-term financing, spur economic growth, and reduce unemployment.

The move follows the signing of a Memorandum of Understanding (MoU) between the Securities and Exchange Commission (SEC) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) in Abuja.

According to both agencies, the partnership aims to provide viable financing alternatives for the country’s over 40 million registered Micro, Small, and Medium Enterprises (MSMEs), while supporting the Federal Government’s ambition of building a $1 trillion economy.

The MoU will help qualifying SMEs raise funds through equity or debt securities under SEC regulations, while also guiding them to meet governance and regulatory standards required to access the market.

Director-General of the SEC, Dr. Emomotimi Agama, said the collaboration will open new funding routes for small businesses and integrate them into Nigeria’s capital market ecosystem.

“Capital is the bedrock of any company,” he said. “It is important that as a capital market, we create avenues for SMEs to raise sustainable funds, democratize wealth, and accelerate national development.”

Agama noted that the partnership aligns with President Bola Tinubu’s economic reform agenda, which prioritizes industrial growth, job creation, and private-sector inclusion.

On his part, SMEDAN Director-General, Charles Odii, said the initiative will help businesses overcome the persistent challenge of costly and limited financing in Nigeria.

“Capital in this part of the world is expensive and scarce. Through this collaboration, we are creating another source of financing for our medium-scale businesses. Our target is to have at least 1,000 SMEs listed on the capital market to drive growth and reduce unemployment,” he said.

Both agencies also plan to host joint capacity-building programmes to strengthen SMEs’ financial literacy, corporate governance, and understanding of market operations.

Under the agreement, a Joint Working Group (JWG) will oversee implementation, data sharing, and compliance with the Nigeria Data Protection Act, 2023, while a national SME conference will be convened to engage stakeholders and expand policy dialogue on SME financing.

With this collaboration, the Federal Government aims to position SMEs as a key driver of Nigeria’s economic diversification, job creation, and inclusive growth.