Contribution of SMEs to the Nigerian economy
SMEs have been fully recognised by government and development experts as the main engine of economic growth and a major factor in promoting private sector development and partnership.
The development of SMEs is an essential element in the growth strategy of most economies and holds particular significance for Nigeria
SMEs contribute to improved living standards, bring about substantial local capital formation and achieve high level of productivity and capability. SMEs are recognized as the principal means of achieving equitable and sustainable industrial diversification and dispersal
SMEs account for well over half of the total share of employment sales and value added SMEs constitute the most viable and veritable vehicle for self sustaining industrial development, as they possess the capability to grow an indigenous enterprise culture more than any other strategy. SMEs represent the sub sector of special focus in any meaningful economic restructuring program that targets employment generation, poverty alleviation, food security, rapid industrialization and reversing rural urban migration…in essence “small is profitable in Africa
In Africa and Asia, most of the jobs, especially those in non-urban areas are provided by small and medium scale enterprises and in most cases they account for the vast majority of industrial units operating in respective continents