NACCIMA sees power, security as biggest stimulants to MSMEs

The Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) believes that regular power supply and improved security in the country will stimulate the growth of businesses, especially the micro, small and medium enterprises (MSMEs).

NACCIMA, which is the umbrella body of all the chambers of commerce in Nigeria, is convinced that even if regular power supply is the only achievement that will be recorded by the incoming administration of Muhammadu Buhari, businesses and economy will take better shapes.

“There is the need for the incoming administration to recognise the importance of power to the survival of the industries and businesses in the country and ensure the reforms in the sector are improved upon so as to deliver to the generality of the Nigerian populace much desired stable power supply,” said Bassey E.O. Edem, acting national president, NACCIMA, during the review of state of the nation and presentation of expectations of the chamber from Buhari administration, held last Thursday in Lagos.

“If this is the only thing the incoming administration will achieve, the businesses and the economy will be better for it,” Edem said.

While commending the outgoing president Goodluck Jonathan for privatising the power sector, NACCIMA helmsman said the current output ranging between 2,700 mega watts (MW) and 3,500 MW are still insufficient to drive MSMEs and industries.

He advised the incoming administration to demonstrate the political will needed for the development of alternative power sources such as solar, wind and coal, among others, so as to significantly improve on the power supply in the country.

“I do not see why the coal in Enugu should not be used to generate power,” Edem said.

Insecurity is also key to business success as investors are often repelled by terrorism, kidnapping, theft, insurgency and violence of various proportions.

Consequently, Edem said the chamber appreciates the efforts of the Federal Government in curbing the menace of insecurity, especially the insurgency in the North-East region of the country, but observed that more efforts are still needed to tame insecurity not only in the region but also across the country.

“The incoming administration must ensure that advanced technologies used in checking the activities of these miscreants are employed by our security agents,” he said.

There is also need for training and retraining of armed forces to better equip them with sophisticated techniques that will guarantee security of all Nigerians, he further said.

The Common External Tariff (CET) is set to fully begin among fifteen members of the Economic Community of West Africa States, for which Nigeria is a leading member. The scheme is meant to achieve uniform tariff system and guarantee free flow of trade within the region.

The MSMEs will also play a key role in the regime, tapping into a market of about 340 million consumers to grow margins.

NACCIMA therefore said there is still the need to ensure compliance of all protocol signed by ECOWAS to eliminate dumping of goods in the region.

“The incoming administration needs to recognise that the success of the ECOWAS Trade Liberalisation Scheme (ETLS) in Nigeria is dependent on government commitment to the provision of basic infrastructural facilities in the country so as to make Nigerian products competitive in the West African market,” he stressed.

In a separate interview, Adeniyi Ogunsanya, head of small and medium enterprises, NACCIMA, urged the incoming government to expose MSMEs to better markets. According to Ogunsanya, many MSMEs are yet to understand market dynamics for their products as well as other ancillary concepts such as quantity and packaging.

“There must be deliberate commitment to expose SMEs to international standards,” he said, adding that the incoming administration should collaborate with business groups such as NACCIMA and make all SMEs belong to the group.

“I urge Buhari to have an effective interface between planning and execution. There must also be better infrastructure for SMEs to thrive,” he added.

ODINAKA ANUDU