By LUCY OGALUE

Small business owners in the Federal Capital Territory (FCT), have lamented the continued high cost of doing business, saying multiple challenges are threatening their survival and profitability.

Many of the traders and entrepreneurs said this in an interview with the News Agency of Nigeria (NAN) on Sunday in Abuja.

They listed high fuel prices, electricity bills, poor infrastructure, and unfriendly policies as major obstacles to sustaining their businesses.

Mrs Grace Okon, a fashion designer in Wuse, said the high cost of fuel and electricity tariffs had eaten deep into her income.

“I am finding it very difficult to break even. You know my business depends so much on electricity and electricity tarrif is very high now.

“Sometimes l spend more buying fuel to run my generator than what I spend on getting materials for sewing.

”When you try to capture this in the cost of sewing, customers will begin to complain and some may not patronise you anymore ,” she said.

Mrs Esther Cletus, who runs a dry cleaning service at Apo Resettlement, also decried high cost of electricity tarrif which was affecting her business.

”It is not easy doing dry cleaning business anymore in this town because most of what we make in the business goes into buying electricity,” she said.

For Mr Musa Abdul, who runs a mini restaurant in Garki, said the challenges were compounded by unstable food prices.

“Every week, the cost of food items fluctuates in the market. Although, we are fortunate that this period, the cost of many staple foods are coming down.

”When the cost is high, customers complain because we increase the price of food; we cannot keep selling at a loss.

”Moreso, with the Federal Government’s tax reform proposed to take effect in 2026, we fear that many of our businesses may shut down.

”We are currently managing to make profit in the midst of the various challenges, and now we have to contend with enforced tax. This is outrageous I must say,” Abdul said.

Similarly, Mrs Rashida Sule, a salon operator in Nyanya, said she feared the new tax policy would worsen the already harsh business environment in the country.

“We are still struggling with multiple levies from local officials. Adding more tax will cripple small businesses like ours and affect the little income we use to feed our families,” she said.

Some entrepreneurs also complained of poor infrastructure, citing bad roads and inadequate market facilities as factors reducing customer access and sales.

Mrs Nembam Atule, a trader, said:” most times, the cost of most food items are cheap at the farms but due to poor roads and increased transportation their prices increase.

“We need good roads, the government should improve our infrastructure, subsidise electricity and provide soft loans to small business owners to reduce the cost of production. ”

Reacting to the concerns, Mr David Alabi, a financial expert, said the rising operational cost was a national problem that required urgent government intervention.

“Small businesses are the backbone of Nigeria’s economy and needs to be supported.

“If they are overburdened with high fuel costs, unstable electricity tariffs, and additional taxes, it will stifle growth, increase unemployment, and worsen poverty levels,” he said.

Similarly, Mrs Jessica Onwa, an economist, advised government to balance tax reforms with policies that supported productivity.

“While taxation is important for revenue generation, it should not come at the expense of small businesses that are already struggling.

”Government should provide incentives, reduce energy costs, and improve infrastructure to allow businesses to thrive,” she said.

She warned that unless urgent steps were taken, FCT would see more business closures, leading to reduced household income and weaker local economies.

NAN reports that the Federal Government’s new tax reform is scheduled to take effect in 2026, a development that has heightened concerns among small business operators across the country. (NAN)