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MSMEs Analysis Report

Policy Recommendations Main policy recommendations proposed are a review of the system of classification of business-particularly from the MSME National Policy; and targeted policy implementation for each classification to address strengths and challenges of each business type. Re-classification: Micro enterprises are the majority of businesses in Nigeria, however this large sub-sector can still be further broken down based on pro- establishment behaviour (registration, turnover, etc.) Introduction of "one-man business"/freelancers whose main objective is self-sustenance. Introduction of additional criterion in classification: employment, assets, and formal registration. Targeted policies by business type: • Micro businesses face challenges related to day-to-day running costs - fuel, electricity, working capital SMEs face a more complex set of challenges related to access to capital and industrial utilities. Policies aimed at both business types should not be generic or lumped together. nbs NATIONAL BUREAU OF STATISTICS
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