CIBN: MSMEs still squeezed by high costs despite FG’s macroeconomic progress

The Chartered Institute of Bankers of Nigeria (CIBN) has said that micro, small and medium-sized enterprises (MSMEs) are still being constrained by high operating costs and other factors despite the macroeconomic progress recorded under the current Federal Government.

CIBN President and Chairman of Council, Dr. Dele Alabi, disclosed this on Tuesday at the 19th Annual Banking and Finance Conference in Abuja, which was attended by Nairametrics.

The development comes over a year after data from the National Credit Guarantee Company (NCGC) cited that an estimated 80% of MSMEs in Nigeria remain excluded from formal credit access due to stringent collateral requirements and lenders’ aversion to risk.

What the CIBN President is saying

Alabi explained that Nigeria is not insulated from global economic shocks, adding that they reach the nation through volatile crude oil and gas prices; higher costs of petrol, diesel, cooking gas and fertiliser; rising freight and logistics costs; exchange-rate pressures; and shifts in capital flows.

He noted the multi-layered response by the Federal Government and stakeholders, involving closer coordination of fiscal, monetary and energy policies, which, according to him, has led to support for domestic production and food supply, as well as more targeted social protection for vulnerable households.

• “The good news is that certain policies implemented in the past couple of years are beginning to yield fruit. Likewise, recent indicators show that these efforts are beginning to rebuild confidence,” he said.

He added that the latest figures from the National Bureau of Statistics’ Q2 2026 Gross Domestic Product Report, alongside the fact that 33 banks have met the revised minimum capital requirements, with N4.65 trillion in new capital raised, are important signals of stronger…