Lagos State has released ₦5 billion in loans under its Lagos State Government–Bank of Industry Access to Finance for MSMEs through Cooperatives scheme, known as LASMECO, as the state moves to expand affordable financing for small businesses.
The Commissioner for Commerce, Cooperatives, Trade and Investment, Mrs. Folashade Bada Ambrose-Medebem, announced the development during the 2026 Ministerial Press Briefing held at the Bagauda Kaltho Press Centre in Alausa, Ikeja.
According to the commissioner, the loan scheme was created to improve access to funding for Micro, Small and Medium Enterprises (MSMEs), especially cooperative-based businesses that often face challenges securing loans from commercial financial institutions.
She explained that LASMECO was launched in May 2025 as a strategic partnership between the Lagos State Government and the Bank of Industry (BOI) to support entrepreneurship and strengthen business growth across Lagos.
Ambrose-Medebem said the initiative was seeded with ₦10 billion and structured to provide non-collateralised loans of up to ₦10 million for qualified MSMEs operating within the state.
She added that beneficiaries would access the loans at a single-digit interest rate of nine per cent annually, alongside a six-month moratorium and a repayment period of up to 36 months.
“The State has released ₦5 billion as part of the matched funding arrangement,” the commissioner said.
According to her, the scheme is designed to reduce financial pressure on small businesses while helping entrepreneurs scale operations, improve productivity and create employment opportunities.
She further disclosed that accelerator partners for the programme were officially onboarded during a signing ceremony held on May 12, 2026.
The implementation framework for LASMECO involves an integrated cooperative digitalisation Special Purpose Vehicle comprising the Ministry of Commerce, Cooperatives, Trade and Investment, Asset Matrix Microfinance Bank, SEKAT, QooP and Imade Forte.
Ambrose-Medebem also noted that the programme has already attracted national recognition after it was unanimously adopted at the 16th National Council on Industry, Trade and Investment as a model framework for MSME financing reforms across Nigeria.
Beyond the loan programme, the commissioner said the Lagos State Consumer Protection Agency (LASCOPA) recovered over ₦450 million for residents through mediation and enforcement actions against erring businesses.
She revealed that LASCOPA received 4,412 complaints during the review period and successfully resolved 3,687 cases, while 621 cases remain ongoing and 107 were referred to other government agencies.
According to her, the agency intensified market surveillance operations across Lagos to tackle counterfeit products, hazardous goods, exploitative pricing and other unfair trade practices.
More than 1,200 markets, supermarkets, stores and service outlets were monitored during the period under review, while over 48 non-compliant businesses were sanctioned or prosecuted.
Ambrose-Medebem reaffirmed the commitment of the Babajide Sanwo-Olu administration to deepening financial inclusion, protecting consumers and creating a stronger business environment for entrepreneurs and MSMEs in Lagos State.
