The Nigerian Association of Small and Medium Scale Enterprises (NASME) has called on the government to provide financial assistance to support small and medium-sized businesses (SMEs) during the current economic challenges. This appeal was made by Prince John Karunwi, the Chairman of NASME in Oyo State, during an interview with the News Agency of Nigeria (NAN) in Ibadan on Monday.
Karunwi emphasized that NASME had proactively prepared for the economic difficulties by enhancing its members’ skills through a range of training programs. He noted, “These training programs have equipped them to understand that the business landscape is evolving, and it is imperative to embrace change management, especially in the current climate.”
He stressed that implementing changes in their business operations would enable SMEs to introspect and identify areas that require adjustments to enhance competitiveness.
Karunwi also advised members against taking out loans at this time, including digital loans, as inflation could erode the value of the borrowed funds before they are put to use, leading to financial losses. He recommended that government grants would be a more suitable form of support, as they would alleviate the pressure on SMEs to repay the funds, ensuring long-term sustainability and increased productivity.
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Additionally, Karunwi mentioned that NASME had conducted financial literacy training for its members, particularly nano-enterprises, which often lack the knowledge of maintaining separate personal and business accounts, resulting in inadequate bookkeeping and financial management.
The NASME leader disclosed that the association had initiated discussions with the government to address the issue of double taxation by harmonizing tax policies. Furthermore, NASME has been facilitating opportunities for its members to participate in exhibitions, enabling them to showcase and sell their products, thereby generating income.
