Informal sector key for job creation, economic growth — Don

Prof. Kenneth Amaeshi, a Chair in Business Ethics at the University of Lagos, has called for greater recognition of the informal sector as the main driver of job creation and economic growth in Nigeria. During the inaugural lecture of the FirstBank Samuel Asabia Professorial Chair in Business Ethics, Amaeshi highlighted that while large corporations receive public attention and government support, they employ a negligible fraction of the workforce compared to micro-enterprises.

He emphasized that informal sector workers constitute the majority of Nigeria's economy, with small businesses providing livelihoods for the majority of Nigerians. Despite the glamour of large businesses, their ability to create direct employment opportunities remains significantly lower than that of small businesses. Amaeshi noted that formalizing the informal economy could help small enterprises access finance and support systems, but rigid taxation often creates friction.

He stressed that tax accountability matters and urged policymakers to show how tax revenues are utilized. FirstBank Group's CEO, Mr. Olusegun Alebiosu, reiterated that the informal sector contributes approximately 42.5% to Nigeria's GDP, serving as the primary source of livelihood for millions of households. He emphasized that the sector operates on personal trust and reputation, making ethical conduct essential for growth.

FirstBank's commitment to academic research and ethical leadership through the Samuel Asabia Chair was also highlighted, with the university community expressing gratitude for the institution's partnership.