FCT Shop Rent Hikes Push Small Businesses Online

Rising shop rents in the Federal Capital Territory are putting pressure on small businesses. Some owners are moving their operations home, downsizing or shifting sales to social media to cut costs. A survey by the News Agency of Nigeria found that annual rents for some shops had risen from ₦500,000–₦700,000 to ₦900,000–₦1.2 million in certain locations. Traders said higher rents, electricity bills and transport costs were eating into the money they need to restock and grow. One cosmetics seller moved her business from a rented shop to her home after her annual rent rose from ₦450,000 to ₦800,000. Other business owners said they were considering closing or relocating. Property and business experts pointed to rising maintenance and operating costs, while urging landlords to consider tenants’ circumstances. An economist warned that high commercial rents could limit business expansion and hiring, and said a mix of physical and online sales could help some enterprises manage costs.

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