Lagos State Governor, Babajide Sanwo-Olu, has unveiled a groundbreaking financial initiative aimed at empowering grassroots entrepreneurs and boosting the state’s economy. The program, known as the Lagos State Access to Finance for SMEs Through Cooperatives (LASMECO), was officially launched following a landmark agreement with the Bank of Industry (BOI) and Sterling Bank.
The N10 billion public-private fund will provide Micro, Small, and Medium Enterprises (MSMEs) with non-collateralized loans of up to ₦10 million at a competitive 9% annual interest rate. Beneficiaries will also enjoy a six-month moratorium period. The loans will be disbursed through verified cooperative societies, a move Governor Sanwo-Olu described as a strategic model to ensure both accountability and community impact.
Speaking at the launch, the governor said, “Today marks a significant step forward in our journey to build a more inclusive and resilient economy in Lagos State. This isn’t just about funding — it’s about removing systemic barriers that have kept too many entrepreneurs from reaching their potential.”
The LASMECO initiative is designed to serve entrepreneurs from diverse sectors including healthcare, agriculture, manufacturing, the creative industry, and the circular economy. According to the governor, this targeted approach will not only uplift individual businesses but also help strengthen entire communities.
“From a tailor in Yaba to a food processor in Ikorodu, LASMECO offers them a fair chance to grow based on their ideas, not their assets,” Sanwo-Olu added.
He praised the collaboration between government and financial institutions that made the fund possible, emphasizing that inclusive prosperity is achievable when support is extended from the grassroots upward.
The LASMECO fund is expected to create ripple effects across Lagos’ informal sector and stimulate sustainable development through job creation and enterprise expansion.
By
Anthony Emeka Nwosu
