SMEDAN Launches N500m Zero-Interest Fund for MSMEs

The Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), led by Director General Charl Odii, announced the disbursement of a N500 million zero-interest fund aimed at supporting micro, small, and medium enterprises (MSMEs) in Nigeria. This initiative will specifically benefit trade unions and business member organizations rather than individual entrepreneurs.

The announcement was made during a commercial engagement with the Commerce and Industry Correspondents Association of Nigeria (CICAN) to commemorate the 2026 World MSME Day. The fund is designed to help genuine business owners access necessary capital for workspace, tools, and operational needs.

Odii emphasized that the fund will not be given directly to individuals but managed through associations, which will be responsible for repayment under flexible arrangements. The initiative is part of a broader strategy to reform MSME policies, including a proposal for single-digit interest loans and a commitment to reserving 30% of government procurement for small businesses, with plans for a national MSME policy launch in November.