First Bank of Nigeria Limited has identified inadequate financing as one of the biggest constraints facing Micro, Small and Medium Enterprises (MSMEs) in the country, noting that the gap continues to limit growth and competitiveness across sectors.
Head of SME Banking at FirstBank, Mr. Abiodun Famuyiwa, disclosed this at the SMEDAN 2025 National MSMEs Conference in Lagos. He said the bank's determination to bridge the funding gap was a key driver behind its disbursement of over ₦200 billion to MSMEs in 2024.
According to him, access to affordable credit remains a critical need for small businesses. "MSMEs need funding to run their operations, and this is where FirstBank has stepped in. Last year alone, we disbursed over ₦100 billion to SMEs across different markets, while petty traders received about ₦70 billion," he said. Overall, more than ₦200 billion was released to small businesses within the year—mostly without collateral.
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Famuyiwa explained that the bank assesses each business to determine its capacity before loans are issued. "We don't want to give SMEs money that will put them in trouble. We examine their risk profile and monitor how the funds are used," he added.
Beyond financing, FirstBank provides capacity-building support through webinars, seminars, and its SME Connect platform, which links entrepreneurs with mentors and industry experts. The bank also offers tools such as POS machines and SME-friendly business accounts to help enterprises operate more efficiently.
The 2025 National MSMEs Conference, themed "Grow Nigeria: Building a Future of Innovation, Resilience and Prosperity," featured discussions on MSME financing, innovation, policy reforms, and the creative economy. It also included policy dialogues on the review of the expired National MSME Policy and development of a new five-year framework.
The GROW Nigeria Fair showcased emerging SMEs in food, fashion, manufacturing, technology, entertainment and other sectors, highlighting the growing interest in unlocking the potential of Nigeria's small business ecosystem.
