Beyond Credit: How LAPO Microfinance Bank Is Rewriting The MSME Growth Story In Nigeria
Rashidat O. Okunlade Writes, Lagos
Nigeria’s informal sector contributes over 58 per cent of the nation’s Gross Domestic Product (GDP) and sustains the majority of its workforce, according to the Central Bank of Nigeria (CBN). Yet, for decades, the engine of this economic powerhouse, Micro, Small and Medium Enterprises (MSMEs), has struggled under the weight of limited access to finance, inadequate infrastructure, and fragmented policy support.
That narrative, however, is being rewritten, one partnership at a time.
At the maiden SME Connect 1.0 forum, convened by LAPO Microfinance Bank in collaboration with the Association of Small Business Owners of Nigeria (ASBON) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), stakeholders from across the public and private sectors gathered to chart a new course for MSME development. The event, held to commemorate the 2026 World MSME Day, marked the first large-scale enterprise development forum led by a microfinance bank in Nigeria.
The theme; “Driving MSME Growth Through Impact, Partnership and Innovation”, reflected a growing consensus that financing alone cannot solve the deep-seated challenges facing small businesses. Entrepreneurs need more than capital; they require business formalisation support, digital skills, market linkages, and continuous capacity building to build resilient enterprises.
For LAPO Microfinance Bank, this holistic philosophy is not new. It is the cornerstone of a model that has, over the years, democratised access to finance for more than 6 million MSME customers across 34 states and the Federal Capital Territory. To date, the Bank has disbursed over ₦1.7 trillion in loans across key sectors including education, agriculture, clean energy, housing, consumer lending, and public sector finance.
But perhaps more telling is the Bank’s deliberate focus on inclusion. Over 70 per cent of its loan portfolio is dedicated to women entrepreneurs, reinforcing its long-standing commitment to broadening economic participation and bridging gender gaps in enterprise ownership.
Speaking at the forum, the Managing Director/Chief Executive Officer of LAPO Microfinance Bank, Cynthia Ikponmwosa, underscored the institution’s broader vision.
“At LAPO Microfinance Bank, we recognise that access to finance alone is not enough. Entrepreneurs need the right knowledge, skills, networks and opportunities to build resilient businesses. Through initiatives like SME Connect, we are creating platforms that empower MSMEs to thrive, create jobs and contribute meaningfully to Nigeria’s economic development.”
Her words were echoed by Dr. Olufemi Egbesola, National President ASBON who delivered the keynote address and called for stronger collaboration between government agencies, financial institutions, and the private sector to create an enabling environment through supportive policies and enterprise development programmes.
Oluwatosin Abajo, representing SMEDAN, stressed that Nigerian entrepreneurs require much more than credit. He highlighted business development support, formalisation, digital capability, and continuous capacity building as essential ingredients for sustainability, and reaffirmed SMEDAN’s commitment to stakeholder collaboration.
The forum also featured expert panel sessions covering critical areas such as taxation, digital transformation, access to finance, and business sustainability. An exhibition segment allowed entrepreneurs to showcase products, connect with potential partners, and receive on-the-spot business advisory support.
The participation of organisations including the Lagos State Internal Revenue Service further underscored the growing recognition that MSME development is a shared responsibility, one that demands coordinated action across regulators, financiers, business associations, and development partners.
As Nigeria’s informal sector continues to anchor the national economy, institutions that strategically empower MSMEs are positioning themselves as indispensable partners in the country’s development journey. LAPO Microfinance Bank, through its nationwide reach, sectoral impact, and sustained focus on enterprise support, has emerged as a leading example of how financial inclusion, when combined with capacity building and innovation, can translate into measurable economic outcomes.
SME Connect 1.0 may have been a commemorative event, but for LAPO Microfinance Bank, it is part of a larger, ongoing mission: to move the conversation from rhetoric to results, and to prove that inclusive growth is not just possible, it is already happening.
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Rashidat Olushola Okunlade, Publisher Editor in-Chief BusinessEcho Magazine Print monthly and ROTAMediaNews digital newspaper publication
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ROTA Media Concepts (ROTAMediaNews) is the publisher of BusinessEcho Magazine Print monthly and ROTAMediaNews digital newspaper publication is a media outlet committed to delivering accurate, insightful, and impactful business and economic reporting, with a focus on energy, enterprise development, and sustainable economic growth in Nigeria.
