Over 67,000 Nigerians access loans under federal credit guarantee scheme – Tinubu
President Bola Tinubu has said 67,512 Nigerians across 25 states and the Federal Capital Territory have received loans backed by the National Credit Guarantee Company (NCGC) during its first year of operations.
Tinubu said on Monday that the NCGC had issued N21.59bn in guarantees, enabling participating financial institutions to extend N46.95bn in loans to businesses and individuals.
The figures mean that every N1 provided in guarantees helped mobilise about N2.17 in credit. Independent reporting earlier this month also cited the NCGC as reporting the same first-year figures.
According to the president, 11,374 of the 67,512 beneficiaries are women, while 33.5% are first-time formal borrowers. That would mean more than 22,000 Nigerians entered the formal credit system for the first time.
Tinubu said borrowers who successfully repay their loans would be able to build credit histories that could improve their prospects of accessing financing in future.
The president said expanding access to credit was part of his administration’s effort to move Nigeria towards a credit-based economy and reduce difficulties faced by businesses and individuals seeking financing.
He said the government established the NCGC to address barriers faced by otherwise viable businesses whose owners lack sufficient collateral or an established credit history.
The company shares part of the lending risk with participating financial institutions, with the aim of encouraging them to extend financing to borrowers they might otherwise reject.
Tinubu said the NCGC was working with 19 financial institutions, comprising 13 commercial banks, three microfinance banks and three development finance institutions.
The president also said businesses supported under the programme accounted for an estimated 661,291 direct and indirect jobs. The NCGC has previously reported the same estimate alongside its first-year lending figures.
Tinubu argued that broader access to credit could allow traders to restock, manufacturers to expand production and businesses to invest before receiving future income.
He said the administration would continue expanding access to formal credit, alongside programmes operated through institutions including the Nigerian Consumer Credit Corporation, the Nigerian Education Loan Fund, the Bank of Industry and the Development Bank of Nigeria.
The president described the NCGC figures as evidence of progress in expanding access to finance, saying the government intended to extend such opportunities to more households and businesses across the country.
“Promise made, promise kept,” Tinubu said, describing the initiative as part of the administration’s effort to translate its economic reforms into opportunities for Nigerians.