President Buhari Signs Business Facilitation Bill 2022 To Support MSMEs

The Business Facilitation Bill 2022, also known as the Omnibus Bill, was signed into law by President Muhammadu Buhari to provide a supportive environment for the nation's micro, small, and medium-sized enterprises (MSMEs).

In a statement titled "President Muhammadu Buhari Assents to the Business Facilitation (Miscellaneous Provisions) Bill 2022 and Other Bills," released on Monday, Senator Babajide Omoworare, senior special assistant to the president on national assembly matters (Senate), made this information public.

The Presidency notes that this advances the provisions of Section 58(4) of the Federal Republic of Nigeria Constitution from 1999.

The Executive Bill, which amends 21 business-related laws and removes bureaucratic barriers to doing business in Nigeria, was introduced as the Business Facilitation (Miscellaneous Provision) Act of 2023 and is a legislative intervention by the Presidential Enabling Business Environment Council (PEBEC).

The new law also enshrined the administration's first executive order on transparency and efficiency in public service delivery, which aimed to strengthen business policies across the country, Vanguard reported.

Jumoke Oduwole, special advisor to the president on ease of doing business and secretary of the Presidential Enabling Business Environment Council (PEBEC), claims that the new law is a component of the government's efforts to foster an enabling environment for MSMEs in the nation.

In Nigeria, MSMEs account for almost 90% of all registered firms. Approximately 84% of the workforce is employed by these MSMEs, which also produce slightly less than 50% of the GDP. These companies, however, face several difficulties that limit their potential to support inclusive growth.

Meanwhile, the federal government claimed that it had effectively distributed roughly N785 billion to over 10 million MSMEs through the Bank of Industry (BoI). The payment was made between 2019 and July 2022.

According to the government, this was made possible by BoI increasing its capital base to $5 billion through partnerships with foreign companies like AFREXIM and Credit Suisse, among others.

Otunba Adeniyi Adebayo, minister of industry, trade, and investment (FMITI), noted that the ministry changed the MSME policy to promote the expansion of MSMEs in the country.