Moniepoint Microfinance Bank has disclosed that 42 per cent of Nigeria’s small businesses would be unable to stay afloat for a month without income. This was revealed in the second edition of its Informal Economy Report, which sheds light on the precarious financial state of enterprises that employ a large proportion of Nigerians.
In a statement on Thursday, the bank noted that the report, which will be officially released on Friday, was produced with the support of the Federal Ministry of Industry, Trade and Investment and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN).
“The Informal Economy Report is a robust and important study that examines the informal market and provides fresh insights into its realities,” said Mr. Babatunde Olofin, Managing Director of Moniepoint Microfinance Bank.
“We believe its key outputs will serve ecosystem players and government well in policy direction and execution.”
Nigeria’s informal sector accounts for more than 80 per cent of employment and remains the backbone of economic activity. For millions of citizens excluded from formal job structures, it serves as a crucial source of livelihood and poverty reduction.
According to Moniepoint, the new report is designed to offer evidence-based insights to guide policymakers, regulators, and financial institutions in crafting interventions that will strengthen and formalise informal enterprises.
The Informal Economy Report 2025 builds on the success of its inaugural edition, which was commended by the Federal Ministry of Industry, Trade and Investment, the Corporate Affairs Commission, SMEDAN, and major business associations for providing credible data and actionable recommendations.
