L-R: Mrs Ayoyinka Olajide-Awosedo, Central Planning Committee Chairman; Dr Dele Allimi, DG CIoD; Alhaji Lamis Dikko; Conference Chairman and Nestoil GMD, Dr. Ernest Azudialu-Obiejesi; Mrs Folasade Akinmusire, Chairperson YDF CIoD; Alhaji Tijjani M Borodo, President CIoD; Mrs Amina Oyagbola, 2nd Vice president CIoD; Dr. Ije Jidenma , Immediate Past President CIoD, and Mr. Eyo Eyo, VC YDF CIoD at the Chartered Institute of Directors (CIoD) Young Directors Forum (YDF) conference held in Lagos,
By Itohan Laserian
The Group Managing Director, Nestoil Group, Dr Ernest Azudialu-Obiejesi, has called on financial institutions, regulators and Small and Medium Enterprises (SMEs) to synergise in empowering SME operators to grow Nigeria’s economy.
Azudialu-Obiejesi made the remarks when he chaired the Chartered Institute of Directors’ (CIoD) Annual Young Directors Forum (YDF) conference, recently held in Lagos.
The conference was themed: ‘Empowering SMEs: Addressing the Funding Deficit’.
Azudialu-Obiejesi said that a resilient SME sector would require adequate government support by fostering policies that encourage an enabling business environment, while financial institutions must contribute to Nigeria’s economic development by recognising that punitive interest rates and excessive collateral demands can stifle businesses in their formative years.
He stated that the conference theme is both timely and critical for the sustainable growth of the economy, and as research indicates, over 90% of business operations in Nigeria consist of SMEs, which provide employment and opportunities for countless Nigerians, but a lack of accessible funding stifles their growth, hindering the economy’s full potential.
The challenges, he asserted, unfortunately, limit not just individual businesses but the nation’s economic potential, lowering job creation and diminishing resilience among entrepreneurs as ‘’SMEs are the vital ‘wood’ that fuels our economic ‘kitchen,’ bringing warmth, sustenance, and opportunity to our people’’.
Specifically, he said the scenario mirrors the experiences of Nestoil.
“Mirrors our experience at Nestoil, founded in 1991. starting with limited funding, we relied on personal savings and support from friends and family, overcoming institutional scepticism toward our sector, thus making us a company that has grown from humble beginnings into a leading player in the oil and gas sector on our journey of resilience, innovation, and, most importantly, strategic funding’’.
To empower SMEs, he calls for the creation of more inclusive financial ecosystems, added to financial literacy initiatives, mentorship programmes, establishing SME Funds, and public-private collaborations.
The President and Chairman of the Governing Council of the CIoD, Alhaji Tijjani Borodo called for mentorship, stating that successful entrepreneurs should mentor young business leaders by offering them insights on how they mitigate funding challenges and other business issues.