In a strategic move towards fostering industrial growth and supporting small and medium-scale enterprises (SMEs), the Management Board of Fidelity Bank, led by its Managing Director Mr Richard Madiebo paid a working visit to the Honourable Minister of State for Industry, Senator John Owan Enoh. The meeting focused on the bank’s proposal to collaborate with the federal government in raising a 750 billion naira medium-term Industry Fund aimed at expanding SMEs and achieving a fivefold increase in Nigerian businesses.
The General Manager of Fidelity Bank, Mr Richard Madiebo expressed the institution’s commitment to being a key partner in the Honourable Minister’s vision of upscaling SMEs and driving industrial growth. He emphasised the bank’s dedication to contributing to Nigeria’s industrialisation journey and supporting the Honourable Minister’s success story.
The Minister, in his remarks, highlighted the ministry’s pivotal role as the engine that powers industrialisation in Nigeria. He underscored the importance of fostering robust partnerships between the private and public sectors to achieve sustainable economic development. He further stressed that addressing the challenges faced by Nigeria’s MSMEs is instrumental to the federal government’s economic agenda, given that MSMEs constitute a significant portion of the nation’s economy. He expressed optimism about the project’s potential to add value to Nigeria’s economic chain and advocated for encouraging processing industries rather than relying solely on the export of raw materials.
A comprehensive presentation by Mr. David Fajuyitan, Head of Corporate Finance at FSL Capital Limited, noted that, the initiative aims to mobilise long-term financing for SMEs operating in sectors such as agro-manufacturing, cotton, leather, and cash crops. “Through targeted bond issuance, the project seeks to establish a structured market-based mechanism to attract private and institutional capital aligned with national development goals” Fajuyitan added.
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The project’s objectives are;
– Catalysing value chain development and industrialisation.
– Promoting inclusive economic growth, job creation, and export earnings.
– Bridging financial gaps for SMEs.
– Establishing sustainable on-lending frameworks to channel funds efficiently and transparently.
Mr. Fajuyitan also highlighted the critical role of SMEs in Nigeria’s economy, noting that they account for 40% of the national GDP, 96% of businesses, 84% of employment opportunities, and only 6% of export earnings. He emphasised that additional capital injection would strengthen SMEs’ capacity and attract governance structures conducive to international business standards.
The visit marked a significant milestone in the collaboration between Fidelity Bank and the Federal Ministry of Industry, Trade, and Investment, setting the stage for transformative growth in Nigeria’s industrial and SME sectors.
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