The Lagos State Government has released N5 billion to support small businesses under its MSME financing initiative, LASMECO, as part of efforts to expand access to funding for entrepreneurs and cooperative-based enterprises across the state.
The Lagos State Commissioner for Commerce, Cooperatives, Trade and Investment, Folashade Ambrose-Medebem, made this known during the 2026 Ministerial Press Briefing held at the Bagauda Kaltho Press Centre, on Thursday at Alausa, Ikeja.
According to the commissioner, the state government launched the LASG-BOI Access to Finance for MSMEs through Cooperatives programme, known as LASMECO, in May 2025 as a strategic intervention to strengthen small and medium-scale businesses.
Ambrose-Medebem explained that the programme was initially seeded with N10 billion and structured to provide up to N10 million in non-collateralised loans to qualifying cooperative-based MSMEs at a single-digit interest rate of nine per cent annually.
“The State has released N5 billion as part of the matched funding,” Ambrose-Medebem said.
She added that beneficiaries under the scheme would enjoy a six-month moratorium and a 36-month repayment period designed to ease financial pressure on small businesses.
The commissioner described LASMECO as one of the government’s key economic empowerment programmes aimed at boosting entrepreneurship, productivity, and job creation across Lagos State.
According to her, accelerator partners for the scheme were officially onboarded during a signing ceremony hosted by the ministry on May 12, 2026.
She further disclosed that the initiative is being implemented through an integrated cooperative digitalisation Special Purpose Vehicle involving the Ministry of Commerce, Cooperatives, Trade and Investment, Asset Matrix Microfinance Bank, SEKAT, QooP, and Imade Forte.
Ambrose-Medebem noted that LASMECO had already gained national recognition after being unanimously adopted at the 16th National Council on Industry, Trade and Investment as a model framework for MSME financing reforms across Nigeria.
She said the administration of Governor Babajide Sanwo-Olu remained committed to creating a business-friendly environment through improved access to finance, industrial reforms, trade expansion, and investment promotion.
The commissioner added that the government would continue the gradual rollout of LASMECO to more eligible cooperative-based MSMEs as part of efforts to deepen financial inclusion and stimulate grassroots economic growth across the state.
