Oduwole Seeks National System to Convert Verified Invoices Into Affordable SME Financing
The Federal Government has inaugurated the Steering Committee for the National Digital Invoicing and Financial Optimisation Strategy (NDIFS), with the Minister of Industry, Trade and Investment, Jumoke Oduwole, calling for a system that can turn verified invoices into affordable working capital.
Oduwole said the strategy, approved by President Bola Tinubu, should go beyond digitising tax and business compliance to address cash-flow challenges facing businesses, particularly small and medium-sized enterprises.
She said many SMEs struggle because funds remain tied up in receivables, affecting production, inventories, suppliers and export opportunities.
The minister proposed the creation of a national receivables-finance corridor through which verified invoices from exporters, manufacturers, agro-processors, fast-moving consumer goods businesses and eligible public-sector counterparties could be converted into transparent and regulated working capital.
According to Oduwole, the system would require four interconnected components: a trusted digital platform for authentic invoices and transaction data; a legal framework covering assignment, enforceability and collateral; a financing network involving banks, development finance institutions, fintechs, insurers and guarantors; and a market comprising businesses, exporters, anchor buyers and supplier networks.
She stressed that the components must operate together, noting that digital technology without financing would not resolve liquidity challenges, while financing without legal certainty would be difficult to scale.
Oduwole said the committee’s six-pillar architecture and phased implementation roadmap must be supported by measurable outcomes, including the value of verified receivables, financing unlocked, SMEs reached, financing costs, turnaround time, repayment performance and improvements in production and exports.
She outlined five priorities for the committee: designing e-invoicing for financeability, developing interoperable systems, strengthening data protection and cybersecurity, starting with real transactions and assigning clear ownership and deadlines to each action.
The minister also directed the secretariat and relevant institutions to develop a controlled 90-day pilot involving selected exporters, productive value chains and anchor businesses.
She urged the committee to make its next meeting delivery-focused, supported by a dashboard tracking milestones, responsibilities, timelines, risks and required decisions.
The committee’s mandate cuts across revenue administration, monetary and financial infrastructure, securities regulation, industry, trade, insurance, development finance, SMEs and the organised private sector.
Its draft terms of reference include reviewing the implementation roadmap, recommending policy and regulatory measures, promoting institutional coordination, managing delivery risks and supporting stakeholder engagement.