Informal sector key for job creation, economic growth — Don

The inaugural lecture at the FirstBank Samuel Asabia Professorial Chair in Business Ethics highlighted the critical role of the informal sector in Nigeria's economic growth and job creation. Prof. Kenneth Amaeshi, Chair of the Chair in Business Ethics at the University of Lagos, emphasized that the informal sector, often overlooked by large corporations, is the true majority economy where most Nigerians earn their livelihood.

Despite banks like First Bank employing around 600,000 people, the sector supports millions of households, accounting for approximately 42.5% of Nigeria's GDP as reported by the National Bureau of Statistics.

Amaeshi stressed that while formalization of the informal economy could provide small enterprises with access to finance and support systems, rigid taxation can create friction. He stressed the importance of tax accountability for small business owners, who are generally supportive of contributing to national development. Speaking at the event, Olusegun Alebiosu, MD and CEO of FirstBank Group, reiterated the sector's significant contribution to the economy and highlighted the challenges faced by informal businesses due to limited access to finance, infrastructure, and formal business structures.

The university community expressed gratitude to FirstBank for its commitment to academic excellence and ethical leadership through the endowment initiative. The Vice Chancellor of the University of Lagos assured continued support for the initiative, reaffirming that UNILAG would provide the enabling academic environment required to maximize the impact of the endowment.