The Federal Government has unveiled a new financing initiative designed to strengthen Nigeria’s entrepreneurial ecosystem by granting 6,122 Micro, Small, and Medium Enterprises (MSMEs) access to single-digit interest loans under the SMEDAN Inspire–Create–Start–Scale (ICSS) programme.
Launched in Abuja on Tuesday, the initiative is a partnership between the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), and Kaduna Business School, with implementation support from GOPA Worldwide Consultants. The facility will be managed by Jaiz Bank.
Under the scheme, START loans will range from ₦250,000 to ₦2 million, while SCALE loans will range between ₦1 million and ₦5 million.
Minister of Youth Development, Ayodele Olawande, described access to finance as one of the most significant obstacles facing entrepreneurs, particularly young people and underserved communities. He said the initiative represents a strategic investment in productivity and sustainable growth rather than a social intervention.
“Training alone is not enough. We must pair it with mentorship, financing, and market access to ensure young entrepreneurs can transform ideas into thriving businesses,” Olawande said, identifying green growth, digital transformation and skills development as priority areas.
SMEDAN Director-General, Charles Odii, said the ICSS programme standardises entrepreneurship training in line with global best practices, positioning beneficiaries to become bankable and investment-ready.
“Many MSMEs have undergone training in the past but could not access funding. ICSS now ensures that every graduate with a viable business plan can immediately qualify for financing,” Odii stated. He added that the loans are intended to fund productive assets such as machinery, tools and equipment to scale operations and create jobs.
According to him, although 100 entrepreneurs are participating in the pilot phase, the programme targets 6,122 beneficiaries nationwide, with special focus on women- and youth-led enterprises.
Head of Development Cooperation at the German Embassy, Dr. Karen Jansen, reaffirmed Germany’s support for strengthening Nigeria’s MSME sector, describing the programme as a sustainable model combining training, mentorship and responsible financing.
One of the beneficiaries, Rukayat Yusuf, who operates in natural cosmetics and agro-processing for export, said the facility would enable women entrepreneurs to expand production capacity and access new markets.
The launch attracted government officials, development partners, financial institutions and private sector stakeholders, underscoring coordinated efforts to empower SMEs as drivers of economic growth.
Michael Olugbode in Abuja
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