Lagos Cooperative Leaders Demand Stronger Government Support, Funding and Digital Transformation for Sector Growth.

Lagos Cooperative Leaders Demand Stronger Government Support, Funding and Digital Transformation for Sector Growth.

LAGOS, Nigeria  Cooperative leaders in Lagos State are calling for stronger government backing, improved access to affordable financing and wider adoption of digital technologies, saying the measures are essential to making cooperatives more resilient, competitive and capable of contributing to inclusive economic development.

The call reflects growing efforts to reposition Nigeria’s cooperative movement as a vehicle for financial inclusion, enterprise development, job creation and grassroots economic empowerment.

At the 2025 Lagos State Cooperative Federation (LASCOFED) Cooperative Leaders’ Conference, attended by representatives of more than 180 cooperative societies, participants urged societies to adapt to changing economic realities while preserving the democratic and community focused principles on which the cooperative movement is founded. Vanguard and The Guardian independently reported on the conference and its emphasis on digitalization, government support and stronger cooperative institutions.

High Chief Oriyomi Ayeola, President of the International Cooperative Alliance Africa and immediate past President of the Cooperative Federation of Nigeria, called on cooperators to become more active in policy and governance discussions and advocate for measures that support the sector. He also backed the creation of a Cooperative Development Fund to strengthen cooperative institutions.

Technology emerged as another major area of concern. Speakers at the conference stressed the need for cooperative societies to embrace fintech, digital record keeping and other technology driven systems to improve efficiency, transparency and access to wider markets. Hakeem Adeniji reportedly noted that only 45 cooperatives in Lagos were operating digitally at the time of the conference, highlighting the scale of the digitalization gap.

The emphasis on digital transformation has since become part of a broader policy direction. In May 2026, the Federal Government launched a cooperative sector digitalization drive in Lagos alongside an initiative focused on mobilizing share capital for the Cooperative Bank of Nigeria. The Federal Government said the reforms were intended to strengthen financial inclusion, enterprise development, job creation and poverty reduction.

Lagos State has also expanded its financial intervention for cooperative-linked businesses. In July 2026, Governor Babajide Sanwo-Olu announced a ₦10 billion financing initiative under the Lagos State Access to Finance for SMEs Through Cooperatives (LASMECO) programme. The scheme provides eligible cooperative-based micro, small and medium sized enterprises with access to loans of up to ₦10 million without conventional collateral, at a reported nine per cent interest rate, with a six month moratorium and repayment period of up to 36 months.

The development indicates that some of the funding concerns raised by cooperative stakeholders are already being addressed through government backed financing programmes. However, access to capital alone may not guarantee sustainable growth. Effective governance, financial literacy, transparency, regulatory compliance and digital capacity remain critical to ensuring that cooperative resources translate into measurable benefits for members and communities.

Lagos State has said it is also developing a digital database of cooperative societies to strengthen oversight, transparency and programme management. The state’s broader approach includes capacity building and partnerships with financial institutions and other stakeholders.

For Africa’s most populous country, a stronger cooperative ecosystem could have significant implications beyond individual societies. Well managed cooperatives can pool members’ resources, improve access to finance, support small businesses and create platforms through which communities participate more directly in economic activity.

The challenge, therefore, is to ensure that increased public support is matched by accountability within cooperative societies themselves. Sustainable growth will require a balance between government intervention, private-sector partnerships, technology adoption and responsible leadership.

As Lagos continues to position cooperatives as instruments of grassroots development, stakeholders are expected to focus increasingly on how funding, digital innovation and stronger governance can translate into jobs, enterprise growth and greater economic security for ordinary Nigerians.