Vice President Kashim Shettima emphasized that Africa’s economic prosperity hinges on effectively incorporating the informal sector into the continent’s formal intra-African trade system.....KINDLY READ THE FULL STORY HERE▶

Vice President Kashim Shettima, on Monday, declared open the 4th African Union Micro, Small and Medium Enterprises (MSMEs) Forum in Abuja, calling for the urgent integration of the informal sector into Africa’s formal trade structure.

He emphasized that this goal could be achieved primarily through the African Continental Free Trade Area (AfCFTA). However, he warned that unless Africa fully taps into the informal sector’s potential—particularly in supporting small businesses—the continent would continue to “cycle through despair.”

In a statement posted on his official X (formerly Twitter) handle, Shettima asserted that Africa’s path to a brighter future lies not in its skyline of rising towers or bustling stock exchanges, but in its informal economy, which employs nearly 90% of its workforce. Harnessing this sector, he stressed, is non-negotiable.

He called for the full inclusion of the informal economy in formal intra-African trade frameworks, noting that this rationale is what keeps MSMEs central to Nigeria’s policy agenda.

“There can be no African prosperity without a strong MSME ecosystem,” Shettima declared. “This forum is a continental call to action. We owe it to ourselves, our children, and future generations to formally integrate our informal economy.”

Expressing optimism, he added: “With our collective resolve, this gathering can serve as a turning point. We must translate our shared dreams into tangible outcomes that empower MSMEs and drive Africa toward a more sustainable future.”

Highlighting the vital role of MSMEs in Africa’s growth trajectory, Shettima pointed out that these enterprises go beyond job creation—they are engines of inclusive development and tools for combating poverty.

“In Nigeria alone, MSMEs account for 48% of our GDP and provide employment to over 84% of our workforce. They represent our future, which is why we are intensifying efforts to expand their capacity.”

Beyond national efforts, Shettima appealed for increased cross-border collaboration among African nations, noting that the continent’s fate is interconnected. He identified persistent barriers hindering MSMEs, particularly limited access to affordable finance, which he described as a recurring nightmare. Nonetheless, he maintained hope in AfCFTA as a vehicle for economic transformation.

“This challenge has cost Africa more than money—it has slowed our progress. But the African Continental Free Trade Area gives us renewed hope,” Shettima said. “That’s why I’m excited about the theme of this year’s forum: ‘Building Resilient MSMEs through Digital Innovation, Market Access & Affordable Financing for Africa.’ The timing couldn’t be better. The vision is spot-on.”

The Vice President also commended the rapid rise in digital technology adoption across the continent, saying innovation is achieving what politics has long struggled to deliver.

Still, he noted that for Africa to sustain this momentum, governments must step up by investing in digital infrastructure, closing the digital literacy gap, and implementing supportive regulations that encourage innovation rather than hinder it.

Expressing concern over MSMEs’ continued reliance on traditional financial systems, Shettima voiced hope that fintechs are already disrupting the status quo by using alternative data to extend microloans and financial inclusion to previously underserved populations.

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