SMEs as Gateway to Economic Prosperity in Nigeria

Small and medium enterprises are globally regarded as the backbone of any economy. Obinna Chima writes that when given adequate support, SMEs can spur significant economic growth.
SMEs contribute to improved living standards, bring about substantial local capital formation and achieve high level of productivity and capability. They have also been identified as a vehicle for employment generation and providing opportunities for entrepreneurial sourcing, training, development and empowerment. Developing nations such as Nigeria characterised as low income earners by the World Bank, value SMEs for several reasons.
According to the United Nations Industrial Development Organisation (UNIDO), SMEs have a significant role to play in economic development. They form the backbone of the private sector; they make up over 90 per cent of enterprises in the world and account for 50 to 60 per cent of employment. They also play an important role in generating employment and poverty alleviation.