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FG Lauds Moniepoint’s Contributions to the Growth of the Informal Economy

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Vice President of the Federal Republic of Nigeria, Senator Kashim Shettima, has restated the government’s unvarnished commitment to deepening economic and financial inclusion in line with President Bola Tinubu’s Renewed Hope Agenda, noting that financial inclusion is a core component and the government is making a lot of efforts to ensure that the vulnerable in society have safety nets as exemplified by the ASO accord which was signed this year.

L – R Managing Director, Moniepoint Microfinance Bank, Babatunde Olofin; Honorable Minister, Federal Ministry of Industry, Trade and Investment, Doris Uzoka-Anite, and Director General, Small and Medium Enterprise Development Agency of Nigeria, SMEDAN, Charles Odii, at the launch of the Moniepoint Informal Economy Report 2024 in Abuja recently.

He made these comments over the weekend at the Abuja Continental Hotel in Abuja while speaking as principal guest of honour at the launch of the 2024 Nigeria Informal Economy Report powered by Moniepoint in collaboration with the Small and Medium Enterprise Development Agency of Nigeria, SMEDAN and the Federal Ministry of Industry, Trade, and Investment.

The Nigeria’s Informal Economy Report offers fresh insights for individuals and organizations interested in understanding the dynamics of Nigeria’s informal economy and shaping a more inclusive and sustainable economic landscape. Some of the key insights from the report include:

  • The youthful demographic is a critical driving force of Nigeria’s informal economy, with over 57.7% of business owners under 34 years old

  • There is an untapped earning potential that is prevalent in the informal segment, with the average monthly income below ₦250,000 while on the higher end of the spectrum, only about 1.3% of businesses in Nigeria’s informal economy earn above N2.5 million monthly

  • Retail and General Trade is the leading industry within the informal economy, making up 24% of all informal businesses

  • The reality that unemployment is the primary driver for starting a business by many players in the informal sector

Sen Shettima, represented by the Technical Adviser to the President on Economic & Financial Inclusion, Dr. Nurudeen Abubakar Zauro, acknowledged and appreciated the role of players in the informal space, especially Moniepoint. “We can all remember during the Covid-19 lockdown and the recent currency changes, there were a lot of challenges and we saw agencies like this come together and save the country at that point. This is because of the flexible initiatives they brought into the space, especially last-mile delivery by providing a platform that allowed people to successfully transact. SMEDAN’s innovative streak has also been very commendable, he said.

In his opening remarks, Managing Director, Moniepoint Microfinance Bank, Babatunde Olofin, praised operators of informal businesses for the high degree of flexibility and innovation they exhibit in adapting quickly to changing market conditions. Highlighting their economic significance, he said that the informal economy contributes substantially to Nigeria’s GDP and can be effectively mobilized to unleash Nigeria’s full economic potential and provide much needed support to the most vulnerable households in our society.

Minister of Industry, Trade and Investment, Dr. Doris Uzoka-Anite, who formally launched the report, reiterated the Federal Government’s commitment to supporting small business operators in the informal sector of the economy. She pointed out that the informal sector, which often appears to be forgotten, would henceforth begin to enjoy government’s interventions and incentives.

She said: “We are really grateful to Moniepoint for conducting this report. It gives us the basis and foundation now to provide targeted intervention as part of the government’s approach to supporting the informal economy. This segment plays a significant role in the Nigerian economy, we can now bring them up to enjoy incentives that the government is providing to the broader economy as well.

Also delivering a goodwill message, the Chairman, House Committee on Small and Medium Enterprises (SMEs), Hon. Mansur Manu Soro, said the House was taking deliberate steps to prioritize women operating in the informal sector and end gender disparity in earnings. He expressed the National Assembly’s commitment to give the report its full attention, subjecting it to the necessary review and internalizing it while lauding Moniepoint for its positive impact in pushing financial inclusion.

“I want to congratulate Moniepoint for achieving such a national penetration as far as the banking industry is concerned within a very short period of time. The story of Moniepoint is the story of how technology can propel a business to unprecedented levels within a short time span. Reports like this one which we’d be releasing today remain a critical tool used in planning by the government and private sector and we in the House of Reps will be internalizing it legislatively.”

Chief Executive Officer, Moniepoint Inc, Tosin Eniolorunda in his foreword provided the rationale for the report, “In just a few years, over 2 million businesses, many within the informal economy, have chosen Moniepoint as their essential growth partner. The commitment we feel to this sector inspired the creation of this report. By quantifying the informal economy’s impacts and nuances, we can better shape policies and programs to empower and uplift the entrepreneurs driving it forward. Their success is inextricably linked to Nigeria’s continued growth and development.”

In a keynote presentation, Director General/CEO SMEDAN, Charles Odii, said that small businesses are the engine of the Nigerian economy and most of Nigeria’s approximately 40 million small businesses reside in the informal sector. He noted that these businesses which are born of both necessity and entrepreneurial zeal, exemplify the famous Nigerian ‘hustling’ while affirming that the agency is working to formalize these businesses and bring them into the formal sector to increase access to important resources such as finance.

“Ensuring their survival and catalyzing their growth is crucial for poverty elimination, rural industrialization, and the enhancement of livelihoods, all three core mandates of SMEDAN. Their formalization will aid the development of brand value and financial history, which indicates creditworthiness and attracts investment.”

Furthermore, Odii articulated SMEDAN’s agenda aimed at accelerating growth and prosperity for small businesses as encapsulated in the acronym ‘GROW’: Guidance, Resources, Opportunities, and Workforce support. According to him, the agency’s focus spans seven priority sectors including agriculture (EAT Nigeria), manufacturing (PRODUCE Nigeria), tourism (VISIT Nigeria), fashion (WEAR Nigeria), creative industries (WATCH AND LISTEN Nigeria), education (TEACH Nigeria), and services (PATRONISE Nigeria). This agenda focuses on expanding local production capacities, improving market access both domestically and internationally, and creating an enabling environment for over 40 million small businesses, collectively providing more than 60 million jobs.

The event featured a panel session which was moderated by Vice President, Corporate Affairs, Moniepoint Inc, Didi Uwemakpan with the theme: Building an inclusive and sustainable informal economy for Nigeria: Hopes and Impediments. The panelists which included Special Adviser to the President on Economic Affairs, Dr. Tope Fasua; Head, Financial Inclusion Delivery Unit, Central Bank of Nigeria, Dr Paul Oluikpe; DG, SMEDAN; Founder, She Forum Africa, Inimfon Etuk and MD, Moniepoint Microfinance Bank were unanimous and strident in the call for continued collaboration and concerted efforts to support and elevate Nigeria’s vibrant informal economy towards sustainable growth and development.

Some of the dignitaries who attended the event include Senior Special Assistant to the President on Entrepreneurship in Innovation & Digital Economy, Engr Jennifer Adighije; National President, Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA), Barr. Dele Kelvin Oye; MD/CEO, Abuja Enterprise Agency, Mr. Chudi Ugwuada-Ezirigwe; Registrar General/CEO, Corporate Affairs Commission, Hussaini Ishaq Magaji, SAN, among others.


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Ugo Onwuaso is an ICT enthusiast. He believes technology should be used for general good. He holds a Master of Public Administration (MPA) degree from the Lagos state University. Dear Reader, Your support matters. But we believe that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. That is why, we have devoted our energy to independent reportage of technology and finance and how they affect lives. Our incisive and analytical view of how technology news affects the daily life help individuals and organizations make up their minds. Quality journalism costs money. Today, we're asking that you support us to do more. Kindly support our effort to deliver technology and finance journalism to everyone in the world. Donate as little as N1,000. Bank transfers can be made to: UBA Plc 1017156876 Communication Week Media Ltd

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AIT Embraces AI Driven Learning to Revolutionise Higher Education

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Accra Institute of Technology (AIT) has made a pioneering commitment to revolutionize its operations by fully integrating Artificial Intelligence (AI) across all facets of the university.

This bold initiative was unveiled by AIT President, Professor Clement Dzidonu, during the institution’s 20th graduation ceremony.

Addressing the graduating class and esteemed guests, Professor Dzidonu highlighted the transformative impact of AI on the future of higher education.

Read Also: Accra Institute of Technology marks graduation milestone with inspiring ceremony

“As we stand at the threshold of an AI revolution, top universities worldwide are actively exploring ways to harness these technologies. AIT is proud to be at the forefront of this revolution,” he emphasized.

Recognizing AI integration as a necessity in modern education, AIT is poised to become a global trailblazer in the comprehensive application of AI across 12 critical stages of the student life cycle. These stages include:

– Curriculum development

– Program delivery

– Assessments

– Research

– Alumni engagement

By embracing AI, AIT aims to enhance the educational experience, improve operational efficiency, and prepare students for success in an increasingly technology-driven world.

This groundbreaking initiative cements AIT’s position as a leading technological university and sets a new standard for innovation in higher education.

“By seamlessly integrating AI and associated technologies into all aspects of what we do at this university, AIT is not only enhancing the educational experience for our students but also positioning itself as a global leader in the intelligent and innovative delivery of higher education,” Professor Dzidonu announced.

The AIT Board of Trustees, which include six former Vice Chancellors is currently spearheading the development of comprehensive policy provisions and guidelines to facilitate this transformative integration of AI and other emerging educational technologies.

This initiative aims to ensure that AIT graduates are equipped with the skills, knowledge, and adaptability to thrive in an increasingly AI-driven economy and society.

“We believe that this holistic approach will not only benefit our students but also position AIT as a global leader in the intelligent and innovative delivery of enriching higher education in the sub-region and beyond,” Professor Dzidonu concluded.

This bold move by Accra Institute of Technology underscores the university’s commitment to staying at the forefront of technological innovation and ensuring that its students are prepared for the challenges and opportunities of the future.

Accra Institute of Technology (AIT) [www.ait.edu.gh], ranked as the top private University in Ghana by the Ghana Tertiary Awards, is an independent technology-focused university dedicated to academic excellence and cutting-edge scientific and industrial research and R&D work.

For the fourth consecutive year, the University has been honored with the Best Technology University in Ghana Award, a recognition bestowed by the Ghana Tertiary Awards.

This achievement follows the Best in Technology-Focused University in Ghana Award from Global Business Insight of the United Kingdom.

AIT is accredited by the Ghana Tertiary Education Commission (GTEC) to offer both campus-based and Open University undergraduate and postgraduate programs.

AIT is affiliated with the Kwame Nkrumah University of Science and Technology (KNUST) for campus-based undergraduate programs in engineering, computer science/IT, and business administration, and the Open University of Malaysia for Open University undergraduate and postgraduate programs at the Masters and Ph.D. levels.


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Coker Urges Africa to Close Digital Infrastructure Gap for Prosperity

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Ayotunde Coker, Chief Executive Officer of Open Access Data Centre, has said that closing Africa’s digital infrastructure gap is the key to increasing prosperity on the continent.

“Closing the digital infrastructure gap is key to Africa’s prosperity,” he said this in his keynote speech at the ‘Hyperscalers Convergence Africa’ event held in Lagos on Thursday.

The inaugural Hyperscalers conference was organised by Africa Hyperscalers Media and was aimed at uniting the continent’s digital infrastructure community.

Coker stated that Africa accounts for about 17 percent of the world’s population but contributes only around 4 percent of the global GDP. This disparity, which he termed the prosperity gap, is closely linked to Africa’s underdeveloped digital infrastructure.

For instance, nine submarine cables deliver internet capacity to Nigeria’s shores, but a 90,000-kilometer fiber infrastructure gap results in slow and unreliable internet access in the country. Gaps like this hurt the economic potential of the most populous African nation.

“Meaningful broadband connectivity, which is measured by speed, latency, and cost, is necessary for economic development,” he stated.

He urged governments and businesses to focus on expanding fibre networks and improving broadband services to support digital growth. He noted the role of supportive regulations, arguing that while some African countries have made progress in implementing regulations for the digital economy, more needs to be done.

“There needs to be collaboration between governments, regulatory bodies, and the private sector to create an environment that fosters investment in digital infrastructure,” Coker stated.

He acknowledged ongoing efforts in Nigeria and across the continent to improve visibility and support for digital projects but warned that progress would remain limited unless the underlying infrastructure gaps were addressed.

“Africa must light up its dark digital spine,” Coker stated, emphasising the need for revolutionary efforts to drive corporate adoption of digital infrastructure and broadband connectivity. “Without these steps, Africa’s economic growth would continue to be stifled by its underdeveloped digital landscape,” he added.

Also corroborating Coker, Deremi Atanda, the chief executive officer of Remita Payments, noted that connectivity can transform Africa’s innovation and economy.

During a panel session themed ‘Innovating Towards Africa’s Digital Future,’ he stressed that the continent’s prosperity lies in the strength of its digital infrastructure.

“The prosperity of Africa is dependent on the quality of our digital infrastructure. Connectivity has the power to redefine Africa’s innovation,” Atanda said.

He explained that the ability of Africans to take responsibility for their own challenges will only improve with better digital infrastructure. “We must respond to Africa’s needs when it comes to digital infrastructure. It will enable Africans to better understand their problems and improve their quality of life across the continent.”

Frank Eleanya, Senior Writer for Business, and Big Tech at TechCabal, acknowledged that while efforts have been made to improve digital infrastructure, there has been a lack of leadership to fully realize these goals.

“What’s needed is the leadership to make it all happen. We have the capacity, but leadership must wake up and translate all these plans into reality,” Eleanya said.

Wabo Majavu, Executive of Strategy and Business Operations at Africa Data Centre, pointed out that involving communities in Africa’s innovation journey requires monitoring and measuring impact. “When you look at the opportunities, there’s a need to talk about access,” Majavu noted.


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Public-Private Partnerships for Infrastructure Development: Insights from Anambra and Lagos States

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At the Hyperscalers Convergence Africa Conference held recently at the Federal Palace Hotel, Lagos, leading experts in technology and infrastructure development convened to discuss regulatory frameworks for fostering digital infrastructure in Africa.

CFA

Among the distinguished panelists were the Honorable Commissioner for Innovation, Science, and Technology, Lagos State, Olatubosun Alake, and the Managing Director/CEO of the Anambra State ICT Agency, Chukwuemeka Fred Agbata, who shared insights from their respective states on the journey so far.

In his remarks, Chukwuemeka Fred Agbata, CFA, highlighted Anambra’s success story through Public-Private Partnerships (PPP), particularly in digital infrastructure development.

He noted that Governor Charles Soludo’s initiative to waive Right of Way (RoW) charges was pivotal in attracting investors and enhancing ease of business, following the examples set by Lagos and Kaduna.

“Governor Soludo’s decision to waive RoW charges significantly boosted connectivity and economic growth in the state,” CFA said.

“Government is financially burdened, so we have focused on collaborating with local partners to connect our services.

For the first time, we now have a civil service with access to the internet – another successful example of PPP in action.”

A major component of the state’s digital transformation strategy has been leveraging partnerships with local businesses to foster digital access across government institutions.

CFA emphasized that such collaborations were critical for states, not just Anambra, as efficient resource management is key to meeting diverse governance priorities.

“Partnerships as this enable progress in areas like digital infrastructure without placing the full burden on government resources, making them a vital part of modern governance”. He concluded.

Olatubosun Alake, Lagos State’s Commissioner for Innovation, Science, and Technology, highlighted the importance of stakeholder consultation and advocacy, particularly when engaging the private sector.

He urged companies to establish their own codes of conduct to ensure smooth interactions with the government and legislative bodies, which play a critical role in reforms aimed at fostering ease of doing business.

“Ease of doing business is pivotal because it determines whether an investor will engage,” Alake said.

He also emphasized the importance of qualified personnel in civil service sectors and advocated for competitive pay packages to ensure optimal service delivery.

Other distinguished panelists included Dr. Ayotunde Coker, Chairman, Africa Data Centres Association; Tony Izuagbe Emoekpere, President, Association of Telecommunications Companies of Nigeria; and Douglas Njenga, Director of Regulatory Affairs and Special Projects, WIOCC Group. The session was moderated by Sade Dada, Public Policy Manager for Anglophone West Africa at Meta.

The discussions underscored the importance of regulatory frameworks, partnerships, and targeted reforms in driving digital infrastructure development across Nigeria and the African continent.


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