Vendors in the Micro, Small and Medium Enterprises (MSME) sector across Ogun State have raised fresh concerns over their inability to access financial support from banks, warning that the challenge is pushing many small businesses toward collapse.
The business owners said the hurdles—ranging from insufficient collateral and weak credit records to high interest rates—have made loan acquisition nearly impossible. They also lamented erratic power supply, inconsistent regulations, and multiple unharmonized taxes imposed by different tiers of government, which they said are crippling business growth and daily operations.
The concerns were shared on Monday during a press conference held to announce the 2025 Deemakay Business Exhibition.
Speaking at the event, the CEO of Deemakay World, Adedamola Makanjuola, emphasized the urgent need for the state government to step up interventions that support small businesses, describing the MSME sector as too significant to be ignored.
Makanjuola noted that while many entrepreneurs contend with limited knowledge in financial management, strategic planning, and quality control, the absence of adequate technical support further slows their adoption of modern tools and digital systems crucial for competitiveness.
“MSMEs have limited access to finance; this is one of the most pressing challenges,” she said. “We struggle to secure loans from financial institutions due to a lack of collateral and limited credit history. When loans are available, the interest rates are often prohibitively high, restricting expansion and day-to-day operations.
“Regulatory burden and multiple taxation is another challenge we face. We navigate a complex and often inconsistent regulatory framework, which consumes valuable time and resources. Multiple, unharmonized taxes and levies imposed by different levels of government add to the cost of doing business and can be a major cause of business failure.”
She added that unreliable electricity, poor transportation systems, and inadequate basic infrastructure continue to drive up operating costs, as many MSMEs must provide essential utilities themselves.
Despite these setbacks, Makanjuola insisted that Ogun State has the potential to build a vibrant small business ecosystem. She urged the government to strengthen the informal sector and create a more supportive environment where vendors can thrive.
This year’s Season 7 edition of the Deemakay Business Exhibition will feature the Ogun State Commissioner for Women Affairs and Social Development, Adijat Adeleye, as the guest speaker.
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