NSE, CBAN Seek Improved Access to Credit for MSMEs

The Nigerian Stock Exchange (NSE) and the Credit Bureau Association of Nigeria (CBAN) have stressed the need for unhindered access to credit by operators of micro, small and medium scale enterprises (MSMEs) in Nigeria, in order to unlock growth and development of the sector.

Speaking while receiving the delegates of the Credit Bureau Association of Nigeria (CBAN) led by the Chairman of the association, Mrs. Jameelah Sharrieff- Ayedun, during a visit to the exchange in Lagos, the Head, Trading Business, NSE, Mr. Jude Chiemeka, said MSMEs needed an improved credit reporting to access capital for the various projects.

According to him, the MSME sector is the backbone of major developed economies, as well as important contributors to employment. He pointed out that MSMEs account for over 80 per cent of businesses and more than 70 per cent of employment in Nigeria.

He added that despite the significant contribution of MSMEs to the Nigerian economy, challenges still persisted that hinder the growth and development of the sector as they find it difficult to access credit facilities to expand their business.

Chiemeka added that the NSE was fully committed to ensuring that the MSMEs, which he described as the engine room for Nigerian economic development, have long term access to finance as it has set in motion a modality to achieve this objective.

Responding, the CBAN chairman who is also the Managing Director/CEO Credit Registry, Mrs. Sharieff Ayedun, said there was need to promote and encourage MSMEs in Nigeria by providing enabling environment where they would have access to affordable credit.

This, she said, would add value to the Nigerian economy, improve the country’s Gross Domestic Product (GDP) and correspondingly contribute to more employment and improved standards of living for Nigerians.

According to her, Nigeria has witnessed a tremendous improvement on loan repayment by both corporate and individual borrowers attributing this to the existence of the Credit Reporting Act in the country.

The CBAN boss said over the years, the association has engaged in series of education and enlightenment on responsible borrowing.

She disclosed that the 6th National Credit Reporting Conference, an annual flagship event of the Association holding on Friday, November 1, 2019, would discuss the accessibility of credits by the MSMEs and other issues relating to responsible borrowing.

According to her, the event would have the Executive Governor of Lagos State, Mr. Babajide Sanwo-Olu and the Governor of Central Bank of Nigeria, Mr Godwin Emefiele as Special Guests of Honour.

She said the conference would also discuss the need for evaluating the MSMEs in Nigeria with the aim of unlocking further growth and development of the sector adding that such evaluation will assist in attaining a status report on the level of effect or impact of the existing funding and other support strategies on the target recipients; as well as aid in driving policy assessment, redirection and formulation going forward, especially in this present economic climate.