MSMEs urged to discover innovative financing options.

Posted under: MSME
Date: 2023-10-25
MSMEs urged to discover innovative financing options.

To close the financing gap and facilitate growth, micro and small medium enterprises (MSMEs) in Nigeria and other developing markets are advised to explore technological advancements, platform-based alternative models, and reverse factoring solutions. According to a study conducted by Stears in partnership with digital supply chain finance platform Fiducia, disruptive financing options can help overcome the estimated $5.2 trillion finance gap, enabling MSMEs to access crucial funding for expansion. The report highlighted challenges faced by MSMEs in accessing finance and emphasized the role of platform-enabled factoring and reverse factoring in ensuring financial stability and fostering growth. Fiducia's CEO, Imohimi Aig-Imoukhuede, stresses the potential of the digital supply chain marketplace in bolstering Nigeria's GDP growth and supporting the long-term development of the MSME sector, which currently accounts for 46% of the nation's GDP.

Read more at: guardian.ng