Analysts observe that some of the strategies of the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) to drive the present administration’s policy on job creation are its programme such as Business Development Services, Entrepreneurship Training and Technical/Vocational Skills Acquisition.
According to them, these programmes support the establishment and growth of Micro, Small and Medium Enterprises (MSMEs) as a veritable instrument for job creation and poverty alleviation among market women, artisanal groups and business clusters.
For the benefit of hindsight, President Muhammadu Buhari, in his electioneering, had expressed determination to strengthen government institutions such as SMEDAN to create jobs, reduce poverty and promote inclusive economy.
Further to this, the inauguration of the 2015/2016 National Assembly empowerment programme nationwide by which more than 20,000 micro and small business operators benefitted from entrepreneurship and vocational trainings, has validated the present administration’s commitment in that regard.
In the programme, micro and small business operators received items such as tricycles, motorcycles, grinding, sewing and block molding machines, hair dressing and barbing saloon equipment, among others, to make them self reliant and potential employers.
Speaking at a ceremony to inaugurate the delivery of the materials in Abuja recently, the Director-General of SMEDAN, Malam Bature Masari, urged contractors handling the intervention programmes to ensure compliance with due process guidelines contained in the contract agreement.
He urged SMEDAN staff saddled with the responsibilities of monitoring and evaluation of the programmes not to compromise standards.
He warned that the agency’s management would closely monitor the implementation of the programmes to achieve its desired objectives.
In the light of this commitment, analysts observe that the programme will mobilise Nigerians towards the development of enterprises that could translate into a variety of employment opportunities and sustainable economic empowerment in all parts of the country.
For instance, Mr Mofolasayo Adebimpe, an economic analyst with a private financial institution in Osogbo, observed that through the programme, thousands of young and creative graduates had received the support of the Federal Government for establishing enterprises.
Beside this, SMEDAN in a statement insists that it has, though its flagship programme — National Enterprise Development Programme (NEDEP) — generated more than 8,000 business plans from Nigerians interested in starting up enterprises or expanding their existing ones.
It says it has also facilitated the formation and registration of more than 70,000 cooperatives societies to encourage the springing up of cooperative enterprises across the country, creating more than 800,000 jobs.
Adebimpe observed that one other giant stride by SMEDAN which deserved was the recent efforts of the agency to upgrade 23 Industrial Development Centres (IDCs) and convert them into MSMEs clusters or Enterprise Zones.
He, nonetheless, said that the IDCs, in spite of their huge potential and capacities to provide work space and incubate small businesses, suffered neglect.
Masari said the IDCs were handed over to SMEDAN by the Ministry of Industry, Trade and Investment for redevelopment and upgrade into MSMEs cluster parks and Enterprise Zones.
He noted that the centres were presented to provide work space and common facilities that could support the incubation and nursing of small businesses across the country.
He, however, said that SMEDAN had engaged state governments and other stakeholders for partnership and collaboration for the re-development and upgrade of the centres across the country.
“A good example of such collaboration that has yielded positive results is the partnership between SMEDAN and Kano State which resulted in the signing of a memorandum of understanding for the re-development of Tiga Industrial Development Centre into a world class leather cluster park.
“The project, expected to cost N11 billion, will be able to provide latest facility and equipment to hundreds of thousands of operators in the leather industry.[pro_ad_display_adzone id=”70560″]
“The project also has the capacity of providing at least 500,000 direct and indirect jobs, thereby substantially reducing the disturbing unemployment rate in the country.
“A variety of leather products such as bags, shoes, folders, wallets, jackets, car seats, aircraft seats, balls, seater materials and a lot more of global standard leather products, are selected to be produced along value chain line in the cluster.
“Another IDC that is currently receiving attention as a product of collaboration between SMEDAN and the state government is at Osogbo, Osun.
“Already the government of Osun has injected more than N200 million into the rehabilitation of the facilities to make the centre functional enough to support the growth and development of MSMEs and generate job opportunities in the state.
“The centre in Osogbo can accommodate and provide work space for 400 workshops on wood, metal, leather, food and chemical, ceramic, textile and foundry artisans,’’ he said.
Masari stressed that the agency had engaged state governors at every given forum, soliciting their buy-in for the rehabilitation of the IDCs and ensure their effective utilisation to provide institutional mechanism for business capacity enhancement among MSMEs across in the country.
He noted that in an effort to encourage and support the sustainability of MSMEs in the country, SMEDAN had initiated a national MSMEs clinic through which MSME operators could place a phone call to some designated numbers and make enquiries on the performances of their businesses.
He observed that the initiative would allow SMEDAN officials to diagnose the problems of such businesses and give solutions for the sustainability and progress of MSMEs.
Alluding to his view, Mr Abiodun Yusuf, an economist, recalled that SMEDAN had also initiated and variety of entrepreneurship training programmes such as Students for the Advancement of Global Entrepreneurship (SAGE) and Entrepreneurship Development Programmes (EDPs).
He observed that on the platform of EDPs, SMEDAN had trained many entrepreneurs to start new businesses or improve their existing businesses leading to the creation of jobs.
Apart from this, Masari, said that SMEDAN was pursuing the implementation of another programme — Tertiary Institution Entrepreneurship Development Programme — targeted at inculcating the spirit of entrepreneurship in the minds of students of tertiary institutions.
He said the programmme would prepare students on campuses to develop business ideas and establish enterprises to be self reliant.
Masari, nonetheless, said that in spite of these initiatives, operations of SMEDAN had been affected by inadequate funding of its programmes.
He also said there was no coordination and synergy in the implementation of Federal Government intervention programmes targeted at poverty reduction and job creation.
According to him, another challenge is lack of state government’s buy-in and collaboration in the replication of SMEDAN programmes that can translate into massive job creation in all states.
“If these impediments are addressed, SMEDAN has the capacity to drive Buhari’s policy on job and wealth creation for national development,’’ he said.(NANFeatures)
