The Nigerian Export-Import Bank (NEXIM) has pledged to expand affordable financing options for Small and Medium Enterprises (SMEs) to reduce borrowing costs, strengthen export capacity, and improve competitiveness in the global market.
Managing Director/Chief Executive of NEXIM, Abubakar Abba Bello, made this known on Wednesday during the SME Export Finance Sensitisation Forum (EXCEL Programme) held in Abuja. The event was jointly organised by NEXIM and GIZ Nigeria under the SEDIN programme.
Bello said one of the biggest challenges confronting SMEs was the high cost of borrowing, noting that interest rates from commercial banks have risen to as much as 30 percent, a figure he described as “too high for small businesses to sustain.”
He explained that NEXIM, in collaboration with other Development Finance Institutions (DFIs) such as the Bank of Industry (BoI) and the Development Bank of Nigeria (DBN), was working to provide cheaper financing and refinancing opportunities for MSMEs.
“As a development finance institution, our role is to help small businesses grow to the level where they can attract financing from multiple sources,” Bello said.
The NEXIM boss emphasised that beyond access to finance, SMEs also face challenges such as infrastructure deficits, regulatory hurdles, and capacity gaps.
“It’s not that banks are unwilling to lend to MSMEs; rather, many small businesses lack the capacity to manage credit effectively. That’s why sensitisation programmes like this are important — to help entrepreneurs understand processes, documentation, and structures that make them investment-ready,” he stated.
Bello noted that MSMEs are the backbone of Nigeria’s economy, accounting for 96.9% of registered businesses, contributing 48% to GDP, and employing nearly 88% of the workforce. Yet, about 55% of MSMEs still struggle to access finance, with many failing within their first five years due to capital constraints, poor infrastructure, and high operating costs.
Highlighting NEXIM’s ongoing initiatives, Bello cited the SME Export Facility (SMEEF), Women & Youth Export Facility (WAYEF), and the NEXA digital platform, which offers SMEs access to digital export and financial management services.
He added that the bank is preparing to onboard clients onto the African Trade Gateway (ATG), a platform designed to enhance market access, improve payment systems, and deepen intra-African trade.
“Globally, export financing is a proven driver of economic growth. However, exports of goods and services contribute only about 7.64% to Nigeria’s GDP. This shows the huge untapped potential in our MSME export sector,” Bello said.
He reaffirmed NEXIM’s commitment to driving export-led growth through partnerships, capacity-building, and access to affordable finance, saying the EXCEL Programme was a key step toward unlocking the full value of Nigeria’s MSME ecosystem.
