Former Minister of Finance, Kemi Adeosun, has raised concerns over Nigeria’s high rate of business failures, stating that about 95 per cent of startups do not survive beyond five years, as she launched a new platform to support entrepreneurs.
Adeosun disclosed this in a statement issued on Tuesday to announce the launch of Nidacity, a private-sector initiative aimed at providing business education, mentorship, and practical support for entrepreneurs.
In the statement signed by the Chief Operating Officer of Nidacity, Oluwadamilola Oguntimoju, she said, “The timing is urgent. Nigeria has the world’s highest entrepreneurship rate, yet as many as 95 per cent of Nigerian startups do not survive beyond five years.
“With Small and Medium Enterprises accounting for 85 per cent of all employment in the country, the human cost of that failure is felt in every community across the nation.”
The former minister said the initiative was driven by the need to address the economic and social impact of widespread business failures across the country.
According to her, entrepreneurs remain central to job creation despite operating with limited support, stressing that improving business survival could significantly boost employment.
She added, “Nigeria’s entrepreneurs are already doing something extraordinary — they are creating the vast majority of jobs in this country, from the ground up, often with very little support. The data tells us something remarkable: if we can help more of these businesses survive and grow, the employment gains for Nigeria will be enormous.”
As part of its rollout, Nidacity will conduct a nationwide survey titled “Many Roads,” aimed at examining the roots and evolution of entrepreneurship in Nigeria. Adeosun described the survey as a digital initiative that would document the origin stories of family businesses and provide insights into the country’s enterprise culture.
“At its centre is a deceptively simple question: how did the entrepreneurial spirit that defines so many Nigerian households come to be, and why does it endure?” she said.
She noted that findings from the survey would be shared with policymakers, investors, and other stakeholders to support business development and reduce failure rates.
The statement added that the platform would provide tools, training, and business intelligence through digital and community-based formats, targeting entrepreneurs across the country.
Adeosun served as Nigeria’s Minister of Finance between 2015 and 2018, during which she oversaw fiscal reforms and efforts to improve public financial management.