How Do MSMEs Help Achieving Sustainable Development?

Micro, Small, and Medium-Sized Enterprises (MSMEs) might look small when compared to large companies, but they make a big impact in terms of employment, economic growth, and sustainability. In general, SMEs outnumber big companies while playing a major role in the global economy and job creation, especially in developing countries.
Based on the data provided by the World Bank, SMEs account for about 90 percent of businesses and 50 percent of Gross Domestic Product worldwide. Further calculations from the WB show that SMEs have the potential to provide the 600 million jobs that will be needed to absorb the global workforce by 2030.

MSMEs provide jobs to categories of employees considered vulnerable such as women, youth, old people, persons with special needs or disabilities, etc. In a few words, small businesses have the potential to secure a better future for everyone through decent jobs and economic empowerment.
Sustainable Development Goal 8 – Decent work and economic growth require societies to create conditions that allow people to have quality jobs and employment opportunities for young people. Those are the categories of people, who tend to feel the economic impact of the crisis more strongly.

Target 8.3 Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity, and innovation, and encourage the formalization and growth of micro-, small- and medium-sized enterprises, including through access to financial services.

Given the important role of small businesses and the need to get them supported by governments and investors, the General Assembly of the United Nations designated June 27th as the MSMEs’ Day. This year, the topic of MSMEs Day was on the impact of coronavirus lockdowns.
On this occasion, the International Labor Organization Director-General Guy Ryder said that seven out of ten jobs are found in self-employment and small businesses and the figures can be even higher in emerging economies. He highlighted that MSMEs everywhere continue to be crucial in creating jobs and need ongoing support in the post-crisis recovery. Hence it is necessary to guarantee that workers can return safely back to their workplaces and every the smallest business must have access to information on health safety.

MSMEs role in achieving the SDGs

They help reduce poverty of disadvantaged groups in rural communities
MSMEs help meet the SDGs related to economic development
Thriving MSMEs help push innovation and education for sustainable development
MSMEs promote gender equality
MSMEs are key to the efforts to achieve environmental sustainability
The role of MSMEs serves as an advocate for innovative financing solutions and entrepreneurship training programs
MSMEs encourage youth and social entrepreneurship

However, they face many challenges such as access to financial resources, lack of capacities and business knowledge, lack of talented and skilled staff, difficulties to adapt to technological challenges.

Do you have an innovative solution that helps increase the capacities of micro, small and medium-sized enterprises in your community? Or do you have a good idea and want to start a business? Take our free online training on entrepreneurship and learn how to be agile depending on your context.
If you’re already running a project or have a business idea, you can join the Citizen Entrepreneurship Competition.

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24 Comments

  1. Campus members i want all of you to read this articles below and apply it to your ideas and projects…

    Micro, Small, and Medium-Sized Enterprises (MSMEs) might look small when compared to large companies, but they make a big impact in terms of employment, economic growth, and sustainability. In general, SMEs outnumber big companies while playing a major role in the global economy and job creation, especially in developing countries.
    Based on the data provided by the World Bank, SMEs account for about 90 percent of businesses and 50 percent of Gross Domestic Product worldwide. Further calculations from the WB show that SMEs have the potential to provide the 600 million jobs that will be needed to absorb the global workforce by 2030.

    MSMEs provide jobs to categories of employees considered vulnerable such as women, youth, old people, persons with special needs or disabilities, etc. In a few words, small businesses have the potential to secure a better future for everyone through decent jobs and economic empowerment.
    Sustainable Development Goal 8 – Decent work and economic growth require societies to create conditions that allow people to have quality jobs and employment opportunities for young people. Those are the categories of people, who tend to feel the economic impact of the crisis more strongly.

  2. MSMEs provide jobs to categories of employees considered vulnerable such as women, youth, old people, persons with special needs or disabilities, etc. In a few words, small businesses have the potential to secure a better future for everyone through decent jobs and economic empowerment.
    Sustainable Development Goal 8 – Decent work and economic growth require societies to create conditions that allow people to have quality jobs and employment opportunities for young people. Those are the categories of people, who tend to feel the economic impact of the crisis more strongly.

    Target 8.3 Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity, and innovation, and encourage the formalization and growth of micro-, small- and medium-sized enterprises, including through access to financial services

    Campus members this is the di-paragraph that inspires me alot, but i motivate you all to read and reflect on it. thanks!

  3. Campus members i urge you all to read emmanuel ekpenyong’s comment and reflect on how we can create a sustainable and peaceful world through goal 8

  4. As soon as I see this article been posted just few minutes ago, the main thing that stems out in my mind was sustainable development goal 8.

    As a budding entrepreneur, I want us to follow the foot steps of Professor Guenter Faltin book and implement goal 8 as whimsically via Target 8.3 Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity, and innovation, and encourage the formalization and growth of micro-, small- and medium-sized enterprises, including through access to financial services.

    Can we try this in our laboratories?

  5. Interesting article mearnt for all of us that have ideas in this competition. This article really is to help us focus in our ideas despite challenges. I encourage all campus members to read this article and be motivated to forge on

  6. I am optimistic about eduheal’s comment and remain focus and committed. Campus members do you agree?

  7. Target 8.3 Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity, and innovation, and encourage the formalization and growth of micro-, small- and medium-sized enterprises, including through access to financial services.
    I want all campus members to study the above and make use it to improve their ideas and projects based on goal 8!

  8. Campus members let us look at this Di scenarios below;

    Did you konw the following are imperative MSMEs role in achieving the SDGs

    They help reduce poverty of disadvantaged groups in rural communities
    MSMEs help meet the SDGs related to economic development

    Thriving MSMEs help push innovation and education for sustainable development

    MSMEs promote gender equality

    MSMEs are key to the efforts to achieve environmental sustainability

    The role of MSMEs serves as an advocate for innovative financing solutions and entrepreneurship training programs

    MSMEs encourage youth and social entrepreneurship across boundaries.

    Yet, do you know there are still some challenges they could face and encounter? Check below and reflect to improve your own idea nor project 2020!

    However, they face many challenges such as access to financial resources, lack of capacities and business knowledge, lack of talented and skilled staff, difficulties to adapt to technological challenges.

  9. My fellow campus members, do you know that the SMEs are like pieces of metals completing the rail where business pass through because business is a train that continuously moves. SMEs are also like cords that accompanies the notes played by business to make music. Do you agree with me?

  10. SMEs are like the mitochondria of the economy. They tend to provide more business opportunities for everyone regardless of their genders, health state or ages. SMEs are also like the pillar that holds up a building furnished with business.
    Do you agree with me?

  11. MSMes are vital because they provide opportunities for entrepreneurs and create meaningful jobs with greater job satisfaction than positions with larger, traditional companies.

  12. America has nearly 27 million of small businesses. My fellow campus members how many do we have here in Nigeria?

  13. OK, my fellow campus members l urge you all to imitate austinbatunde’s comment above, l agree with him.

  14. For me as a serial entrepreneur, l want to educate all campus members today that in reality, MSMEs can be our powerful recipes in term of employment and resilience, especially during this pandemic season. I urges all campus members to research on this, can they?

  15. From my last comment, of all the credits given to the SMEs, you might also want to know a little more about these thriving enterprises, isn’t it?
    SMEs, as the pillar of business, plays a huge part in achieving sustainable development goals.
    Campus members, did you know that SMEs supports social and youth entrepreneurship?

  16. The Micro, Small, and Medium-Sized Enterprises (MSMEs) is not only the back bone of business, but also discovers aptitudes, ablities, and specialities of people, abled and less privileged – and makes the pessimistic sanguine about their future by making them realize their usefulness and wise ideas. It also discovers young hidden expertises. Isn’t it? If my point is nugatory, counter it; if it is worthwhile applaud it.

  17. Did you also know that MSMEs have problems they encounter like a tall order to adaptation of new technological advancement, little or no business knowledge… ??

  18. All campus members must read juliusanayochukwu’s comment above and think constructively about it, do we agree?

  19. I want all campus members to know that: the main and principal reason for this article is for the essense of June 27th been the day for MSMEs Day, and secondly, we must realize that the caption given is: The lmpact of Corona virus lockdowns! Can’t we sit in our entrepreneurial laboratory and design something meaningful like Anita Roddick and Mother Teresa? Is a urgent question for all.

  20. campus members i want us to reflect on emmanuelekpeny 02.07.2020 · Reply
    So I want you to read it

  21. Guys, have you started voting? how does one get to know their voting link?

  22. Medium and small business play a great role in the achievement of the sustainable development goals. These business offer employment, reduce hunger, poverty etc. I suppose it is as a result of the importance of MSMEs that this competition was envisaged. Therefore i encourage all campus members to read up this article and strive to make impact with our ideas and projects with or without winning the competition. In this way the vision of this competition would have been achieved.

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