LAPO Seeks Reforms to Drive Nigeria’s Microfinance Growth
The Lift Above Poverty Organisation (LAPO) has renewed its call for comprehensive institutional reforms to unlock the full potential of Nigeria’s microfinance sector, stressing that stronger policies and regulatory support are essential to expanding financial inclusion and accelerating economic development.
According to the organisation, creating a more enabling environment for microfinance institutions will improve access to affordable financial services for millions of underserved Nigerians, particularly small business owners, women entrepreneurs and rural communities.
LAPO emphasised the need for enhanced corporate governance, increased access to long-term and affordable funding, and greater investment in digital financial solutions that can help microfinance institutions operate more efficiently and reach more customers.
While acknowledging the sector’s vital role in providing credit to micro, small and medium-sized enterprises (MSMEs), the organisation noted that persistent challenges—including rising operating costs, funding constraints, regulatory pressures and limited institutional capacity—continue to hinder its growth and impact.
To overcome these obstacles, LAPO urged stronger collaboration among regulators, government agencies, development partners and financial institutions. It said a coordinated approach is necessary to promote innovation, strengthen consumer confidence and maintain the stability of Nigeria’s financial system.
The organisation also highlighted digital transformation as a key driver of future growth, noting that technology can lower operating costs, expand financial access and deliver banking services to underserved populations more efficiently.
Since its establishment in 1987, LAPO has evolved into one of Nigeria’s leading microfinance institutions, supporting millions of customers through responsible lending, financial literacy programmes and enterprise development initiatives. The organisation believes that sustained reforms will enable the sector to make even greater contributions to poverty reduction, job creation and inclusive economic growth.
As Nigeria continues to seek solutions to improve access to finance for small businesses, LAPO maintains that strengthening the institutional framework for microfinance will be instrumental in empowering entrepreneurs, boosting local enterprises and driving long-term national development.
