AfDB, Lagos back 610 women-owned firms

Lagos and AfDB back women entrepreneurs

The Lagos State Government and the African Development Bank have launched the Affirmative Finance Action for Women in Africa Women Entrepreneurship Project to strengthen 610 women-led businesses in Lagos through training, mentoring, business advisory services and support to improve access to finance. The launch, held in Lagos on 15 October 2026, was announced by Lagos State officials and African Development Bank representatives. The project is being implemented through the Lagos State Employment Trust Fund, with Somo Africa serving as the implementing partner. Under the initiative, the African Development Bank is providing a seed grant targeting 610 women-led micro, small and medium-sized enterprises in Lagos.

Speaking on behalf of Lagos State Governor Babajide Sanwo-Olu, Deputy Chief of Staff Sam Egube noted that women play a significant role in the state's economic activities, but continue to face persistent challenges in accessing finance, business development support and market opportunities. He said the programme was designed to address those barriers by equipping participants with the tools and capacity needed to grow their businesses and compete more effectively. For the state government, supporting women-led enterprises is part of a broader strategy to drive inclusive growth, expand employment and strengthen the resilience of Lagos' small business base. The intervention also builds on existing efforts by the Lagos State Employment Trust Fund to promote enterprise development across key sectors.

The scale of the target - 610 women-led businesses - reflects the recognition that access gaps remain wide despite the prominence of women in Lagos' informal and formal economies. Many women entrepreneurs operate with limited working capital, minimal collateral and constrained access to tailored financial products. By combining enterprise development with financial readiness, the project seeks to bridge those gaps in a way that improves the likelihood of sustainable financing. The Lagos State Employment Trust Fund's track record in administering targeted support programmes provided a practical platform for the partnership, while Somo Africa brings implementation experience in working with women-led enterprises across the continent.

Combining finance with capacity building

Dr Abdul Kamara, Director General and Acting Vice President of the African Development Bank, said combining access to finance with business development support was essential to addressing the challenges confronting women entrepreneurs. He noted that grants and credit alone are often insufficient if businesses lack the systems, records and networks needed to absorb and repay financing. Through the Affirmative Finance Action for Women in Africa framework, the African Development Bank has prioritised interventions that link technical assistance to viable financing pathways. The Lagos project reflects that approach by pairing seed grants with structured training, mentoring and advisory services tailored to the needs of micro, small and medium-sized enterprises.

For participating businesses, the support package is intended to strengthen core operations, improve financial management and build digital and record-keeping capacity. These improvements are designed to enhance credit readiness and position businesses to approach appropriate sources of finance beyond the grant. The implementing partner is also expected to facilitate linkages to markets and, where possible, to financial institutions that can provide follow-on financing. By focusing on readiness as well as capital, the project aims to avoid a one-off injection and instead build foundations for longer-term growth. The structure also recognises that different businesses will require different levels of support, from basic formalisation to more advanced growth strategies.

Long-term impact and sector reach

Lagos State Commissioner for Wealth Creation and Employment Akinyemi Bankole Ajigbotafe described the project as a significant milestone in efforts by the African Development Bank, the Lagos State Employment Trust Fund and the state government to promote women's entrepreneurship and economic independence. He commended the African Development Bank for its support and acknowledged the role of the Lagos State Employment Trust Fund in implementing programmes that strengthen businesses, promote employment and expand economic opportunities across the state. The commissioner said the partnership would help unlock the potential of women entrepreneurs who are already driving economic activity but need targeted support to scale.

The initiative comes as policymakers across Nigeria increasingly focus on inclusive enterprise development as a lever for job creation and poverty reduction. Women-led businesses make up a large share of micro and small enterprises, yet they consistently receive a disproportionately small share of formal credit. By reaching 610 businesses in Lagos, the project represents a concrete step towards narrowing that gap. Its success will depend on the quality of training delivered, the relevance of advisory services to each business and the extent to which participants secure viable follow-on financing. If well-executed, the model could be replicated in other states, reinforcing the case for sustained investment in women entrepreneurs as a core component of Nigeria's economic agenda.