In Nigeria, micro, small and medium-sized enterprises (MSMEs) account for 96 percent of the total number of businesses operating in the economy. What’s more, these enterprises contribute no less than 50 percent to Nigeria's gross domestic product, yearly.
According to a 2020 PwC report, 73 percent of Nigerian MSMEs are owned by sole proprietors; the widowed father with a carpenter shop in his backyard, the 21-year-old lady selling beauty products in an urban market, and of course, the wife and mother with a firm grip on local, family-run canteen business.
This reality is no different for Africa as a whole, where MSMEs account for 38 percent of the overall GDP and create 70 percent of the region’s employment. In emerging markets, the majority (7 out of 10) of the formal jobs obtainable are generated by small businesses.
The African continent is a dovecote of emerging markets and home to some of the fastest-growing economies in the world. In spite of this, most of the tech building has been for formal organizations and everyday commerce; the small businesses powering the economy have been left out of the picture.