It is safer to stay away from newly appointed chief executives, unless they look for you first, especially if they have been brought in from outside the system. Very often, they come with a lot of baggage. Many feel they need to prove they are up to the task, so they cannot stand outside advise. Not a few feel they have all the answers anyway. If you happen to be close to any newly appointed CEO/MD, DG, minister or governor, just send the short SMS text and mind your own business.
Well, I did just that, so that if we happen to meet with one of my brothers, I could say I texted him. So you can imagine my reluctance when Umaru Dikko Radda, the newly appointed Chief Executive of Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), insisted we should meet. We had discussed at various times, before the last Presidential Elections, when he was Director Welfare at the Campaign Headquarters and I found myself with the GMB Economic Advisory Group, and shared the view that governments should focus on those at the bottom of the social ladder.
Even then, I was not too excited when he invited me to attend the retreat he was organising for his staff. Firstly, I thought it would be another talk shop where civil servants rehash what they have been doing all along, commit themselves to doing more of the same, work out how they could continue wasting our money while pretending they are doing something new, and get “consultants” to help them repackage stale products in new bottles. Secondly, when he added that it was to take place somewhere off Kaduna-Zaria road, turning right at Katabu (or Marrarraban Jos), I was apprehensive. Katabu is a filthy, chaotic village for petrol-tanker drivers, prostitutes, pimps, pick-pockets, and those Marx referred to as lumpen-proletariats, a junction one normally just can’t wait to pass through, unless one is unlucky enough to have a flat-tire or something. But I must say that both the SMEDAN Management Retreat and the destination, Fifth Chukker Polo and Country Club, were more than worth my three days.
Let us get back to SMEDAN, and the significance of developing micro, small and medium enterprises. After agriculture (family farms and animal husbandry), the Micro, Small and Medium Enterprises sector is the most important one for our citizens. A 2013 official survey found 37 million MSMES employing about 60 million people, and contributing almost half of the wealth generated (GDP) in the country, but accounting for just over 7 percent of our exports. Nobody caters for them; they have no power, no funding, and yet pay multiple taxes to local crooks, (sorry, officials). How do we identify, develop and nurture these enterprises so that they can do more? The organise sectors (both public and private) are not creating enough jobs. We need at least 4 million new jobs a year, and they are only able to provide 140,000 to 150, 000. If we can get 10 percent of existing enterprises to expand, make more money, and employ one or two new workers, each we can get to the heart of the problem and even double our GDP, but everyone seem to think only new enterprises or government jobs are needed, and that the existing ones can be ignored.
Basically, the problem is this. Governments have, over the years, established several agencies to tackle this all important sector, and have tried funding them. The approach had been chaotic, the funding insufficient and ineffective, and the management poor due to non-coordination, lack of focus, administrative incompetence and political opportunism (SURE-P?). Even if we are to pump more money into micro, small and medium enterprises development, the budding entrepreneurs and the existing ones seeking to expand would not know how to access these funds, or find it difficult to do so. They have no collateral, or even the relevant information regarding access or requirements. Most don’t even know how to manage finances of small businesses, and assume all sales represent profits. Every politician seeking popularity believes all that is needed is to purchase motor-cycles, keke-napeps, sewing or grinding machines, give them out, and that’s all. The attempt to streamline these into micro lenders, training providers, raw material research, and so on did not work. Now even the CBN, Bank of Industry and The Presidency, acting as Jacks of all trade, think they are experts in Enterprise Development, believing it is just “micro-lending”.
Enterprise development goes beyond job creation, or equipping the unemployed with new skills, or lending them small amounts. NDE, RMRDC, CBN, Bank of Industry and (as is now the case) Office of the Vice President must all help, but they were never intended to go into enterprise development, and should work with those established by law to do so. State government can help set up SME parks, complete with water, electricity and access roads. SMEDAN was set up precisely for the task of developing this sector. It can source for more funds from governments, venture capitalists or international organisations, and get everyone else to focus on their areas of expertise. All these came up in the discussions.
We cannot just keep throwing money at the problem and think that is enough. While declaring open the Management Retreat, our amiable, unassuming, and brilliant Aisha Abubakar, Minister of State for Industry, Trade and Investment, had earlier urged the Agency’s staff, consultants and resource persons to get down to the main issues and ensure that “all efforts are geared towards addressing pervasive challenges posed by unemployment and poverty in the country” as well as “develop workable solutions for addressing their impact” so as to move the country forward. The DG tasked those gathered to dwell on the task of reviewing the Agency’s operation and strategically charting the way forward. To my mind, the participants did a commendable task of looking into such issues. They dealt with needed amendments to the SMEDAN Act 2003, review of its mission and vision statements, looking into staff morale and re-orientation, sustainable funding strategies for the MSMEs, diversifying the funding profile of the Agency and the necessity of broadening its focus to include existing industries, and ailing ones. The coordination was great; thanks to Tom, Lanre and the others.
The recommendations are workable, if we have the political will? One thing is clear however, those artisans, poor women and youth, micro operators providing services like barbers, tailors, mechanics and others, as well as the unemployed, who voted for Buhari and for APC, need to begin to see some hope for themselves and their kids. A re-oriented, re-structured and financially empowered SMEDAN can go a long way in making this a reality. The new chaps at the helm of affairs at SMEDAN and the Ministry are off to a good start.The participants, careful to keep their feet firmly on the ground, did allow themselves to dream of a better, reloaded SMEDAN, capable and accountable. A SMEDAN in tune with the hopes of making the dreams of millions for a better life, come true. Which brings me back to the venue. The Fifth Chukker Resort was for me a truly rewarding experience. The wide, open spaces, the carefully landscaped grounds, the rooms and other facilities were well kept and truly relaxing. The food is great, the management and staff are very efficient and professional, yet extremely friendly. Merci Terri and Fatima, and my house keeper from Banjul (who was more than efficient!). The flowers, beautifully trimmed greens, the nearby lake and dam, roads and walkways and even the vast open spaces truly bring one of their slogans to life: The Place of Dreams. I left with the feeling that many of us will be back with family and friends, to experience some world class comfort at half of Abuja’s prices. Even if we are scared of horses, we could still swim, walk, jog or cycle to our hearts content, or play tennis.
Source: Daily Trust
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