Nigeria Secures $12 Million Korean Funding for Skills Center, Launches N500 Million MSME Fund

The Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) has secured a $12 million commitment from the South Korean government to establish a world-class Skills Acquisition Centre in Abuja. This initiative aims to deepen entrepreneurship, tackle unemployment, and strengthen Nigeria's small business ecosystem.

Charles Odii, Director-General and CEO of SMEDAN, announced the funding on Sunday, coinciding with World MSME Day. The proposed center will offer vocational and entrepreneurial training to thousands of young Nigerians, enhancing the productive capacity of Micro, Small, and Medium Enterprises nationwide. The agency is awaiting land allocation from the Federal Capital Territory Administration to commence the project, with Odii emphasizing SMEDAN's determination to secure the opportunity.

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We need land in the FCT to build the Skills Acquisition Centre. If the FCT Administration is unable to provide one, we will use our office premises in Idu, Abuja, because we do not want Nigeria to miss this $12m commitment and opportunity offered by the Korean Government to support skills and vocational training.

"We need land in the FCT to build the Skills Acquisition Centre. If the FCT Administration is unable to provide one, we will use our office premises in Idu, Abuja, because we do not want Nigeria to miss this $12m commitment and opportunity offered by the Korean Government to support skills and vocational training," Odii stated. He highlighted that SMEDAN's interventions are driven by the need to empower small businesses, which are crucial for Nigeria's economic growth and employment generation.

In addition to the skills center, SMEDAN unveiled a N500 million zero-interest Grow Fund. This fund will provide affordable financing to MSMEs through cooperative societies, trade associations, and business membership organizations via a revolving loan system. Odii explained that this association-based lending model is designed to improve accountability and ensure funds reach genuine entrepreneurs, based on insights gathered from direct engagement with traders and market leaders.

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Small businesses are the heartbeat of Nigeria’s economy. They contribute significantly to employment generation and economic growth. By providing infrastructure, skills and financing, we are creating an enabling environment for them to grow, thrive and contribute meaningfully to national development.