Abuja: The Abuja Chamber of Commerce and Industry (ACCI) has highlighted the need for improved access to non-interest financing for women entrepreneurs to stimulate the growth of Small and Medium Enterprises (SMEs). Prof. Adesoji Adesugba, the First Deputy President of the chamber, presented this perspective at a roundtable meeting titled ‘Mobilising Non-Interest Funding for Women Businesses’ held in Abuja.
According to News Agency of Nigeria, Adesugba focused on methods by which women could secure interest-free loans and business funding support, noting that such measures are crucial for enhancing their enterprises. He pointed out that although women are dominant in the SMEs sector, they continue to face significant barriers in obtaining the financial resources necessary for business expansion.
During the meeting, discussions centered on how women cope with funding challenges and where they typically seek financial support. Participants also addressed the obstacles that prevent women-owned businesses from accessing government intervention programs. Prof. Adesugba noted that a lack of awareness about existing Federal Government funding initiatives and support mechanisms is a common issue among women entrepreneurs.
He stated that the roundtable aimed to equip women with the knowledge needed to navigate their business ventures more effectively. Identifying poor information dissemination as a key factor hindering women from benefiting from government-backed business interventions, Adesugba underscored the importance of connecting women entrepreneurs with available financial initiatives and funding opportunities.
The organisers of the event plan to create a database that links businesses requiring support with potential funding providers. Adesugba expressed concern over the low participation rates of banks in managing government grants and intervention programs, urging financial institutions to educate women about available funding channels and application procedures.
He highlighted the prohibitive commercial bank lending rates, which range between 25% and 28%, as detrimental to business sustainability. Such high-interest rates weaken local enterprises, especially when compared to businesses operating in Europe and South-East Asia. According to Adesugba, Nigeria’s poor funding conditions have led to excessive importation and diminished local productivity.
Emphasizing the critical role of SMEs in bolstering Nigeria’s economy and enhancing domestic production capacity, Adesugba stressed the need for stronger institutional support for women entrepreneurs. He called on government agencies and international bodies to improve access to information on available business support programs, reiterating that women entrepreneurs are central to the operations of SMEs and require enhanced support structures.