A crowd of people on a market square. Some carry large bowls and goods.

Promoting competitiveness, economic growth and employment

Sustainable and Inclusive Economic Development for Decent Employment in Nigeria – SEDIN IV

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  • Commissioning Party

    German Federal Ministry for Economic Cooperation and Development (BMZ)

  • Country
  • Lead executing agency

    More

  • Overall term

    2023 to 2026

  • Products and expertise

    Economic development and employment

A crowd of people on a market square. Some carry large bowls and goods. Internally displaced women sit in a circle at a training course on basic entrepreneurial skills. A rope is stretched out between them.

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.

At a training course for corporate service providers, a woman points to a poster while a man listens to her and looks at the poster.

Approach

The project is increasing the competitiveness of MSMEs by focusing on three key areas:

  1. 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.
  2. 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.
  3. 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.
Seven people stand on a stage at a conference on entrepreneurship, raising their arms in the air with a smile.

Last update: November 2023

Additional information