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How SMEs can help young Africans build wealth

These statistics imply that SMEs are the future of Africa and we can do well by ourselves by venturing into them, therefore creating multiple streams of income.

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In January 2016, the 17 Sustainable Development Goals (SDGs) of the 2030 Agenda for Sustainable Development adopted by world leaders in September 2015 at a historic UN Summit officially came into force. The number one Sustainable Development Goal of the United Nations is to alleviate poverty in Africa by 2030.

It is safe to say that some other SDG goals like quality education, zero hunger, good health, and wellbeing are inter-related to the goal of alleviating poverty. Poverty is more than the lack of income and resources to ensure a sustainable livelihood. Its manifestations include hunger and malnutrition, limited access to education and other basic services, social discrimination and exclusion as well as the lack of participation in decision-making.

It is safe to say that some other SDG goals like quality education, zero hunger, good health, and wellbeing are inter-related to the goal of alleviating poverty. Poverty is more than the lack of income and resources to ensure a sustainable livelihood. Its manifestations include hunger and malnutrition, limited access to education and other basic services, social discrimination and exclusion as well as the lack of participation in decision-making.

Inaccessibility to money remains the basis of poverty. Therefore, we need to commit to creating wealth for our society. Wealth creation is the accumulation of assets especially those that generate income over a long period of time.

How then can Africans create wealth?
There are a couple of ways Africans can create wealth which includes savings and investments. SMEs, however, play a fundamental role in creating wealth and helping the economic growth of a nation. In Asia, North America and Europe, SMEs are associated with the impressive economic growth in their countries and they still hold an influential place in the economy in all countries.

In Africa, SMEs dominate business, making up 90 percent of firms in rural and urban areas and providing a major employment avenue. SMEs promote entrepreneurial and business skills among communities and are important drivers for achieving key national goals such as poverty alleviation and economic growth.

These statistics imply that SMEs are the future of Africa and we can do well by ourselves by venturing into them, therefore creating multiple streams of income. The idea that you need to earn a large salary to accumulate wealth, is a popularly held misconception.

Well aware of the problems faced by SMEs such as credit facilities to start up the business, Fundall is committed to helping SMEs grow and build wealth for Africans in the fight against poverty.