By Abasi Ita
Senator Asuquo Ekpenyong of the All Progressives Congress, representing Cross River South, has taken another bold step toward strengthening Nigeria’s business environment as he sponsored and led debate on the Factoring Regulation Bill, 2024 (SB. 474), in the Senate.
The bill, which has passed Second Reading, seeks to tackle one of the major challenges confronting Micro, Small, and Medium Enterprises (MSMEs) delayed payments that hinder cash flow and slow business growth.
Presenting the bill, Senator Ekpenyong explained that the proposed legislation will allow MSMEs to convert unpaid invoices into immediate cash at a small discount from financial institutions.
This, he said, will enable businesses to restock quickly, expand operations, and create jobs without depending on collateral-based loans.
He described the initiative as a structural reform designed to promote fairness and sustainability in the country’s financial system, saying:
“This bill empowers small businesses to grow on the strength of their sales, not their fixed assets.”
The senator noted that the bill establishes a transparent regulatory framework under the supervision of the Securities and Exchange Commission to ensure investor confidence and protect MSMEs.
Ekpenyong expressed gratitude to his Senate colleagues for their robust support, describing the bill’s progress as a significant milestone in advancing financial inclusion and entrepreneurial growth.
The lawmaker, known for his reform-driven approach, has also sponsored several impactful bills, including the South South Development Commission Bill, the Suicide Prevention Bill, and the Federal Medical Centre (Odukpani) Establishment Bill.
If enacted, the Factoring Regulation Bill is expected to unlock liquidity for small businesses, improve competitiveness, and stimulate job creation across Nigeria.