Benefits of the Report
Nigeria’s large population portends a huge market for MSME products and services. Over the past five years, MSMEs’ contribution to Nigeria’s GDP has grown steadily at a compound annual growth rate of 3.51% to 51% in 2014. Agusto & Co. estimates that MSMEs will account for around 56% of GDP by 2016, largely due to the growth in wholesale and retail trade MSMEs.
Low entry barriers, particularly minimum requirement for fixed assets reduce the financing required by MSMEs to thrive. However, poor access to finance, high borrowing rates as well as inadequate infrastructure have been major constraints to the growth of MSMEs in Nigeria.
This report covers three segments of MSMEs namely: Non-trade MSMEs, High-tech MSMEs and Low-tech MSMEs – and provides an overview of these segments, based on the activities of a selected number of key players.
The report also provides an overview of the MSME space, the major characteristics of MSMEs in Nigeria; the key risk areas for small and medium sized operators; critical success factors necessary for MSMEs to compete profitably given the current macroeconomic headwinds the country is facing; the impact of the regulatory environment on small businesses going forward as well as the various finance programs available to small businesses in Nigeria.