Nigeria will establish a National Credit Guarantee Company in May 2025 to provide loans to both businesses and individuals, President Bola Tinubu announced Wednesday.
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Tinubu, who assumed office in May 2023, has emphasized economic reforms aimed at expanding access to credit to stimulate growth in the country’s economy.
“To achieve this, the federal government will establish the National Credit Guarantee Company to expand risk-sharing instruments for financial institutions and enterprises,” Tinubu said in a speech.
The initiative will involve collaboration with key government entities such as the Bank of Industry, the Nigerian Consumer Credit Corporation (NCCC), the Nigerian Sovereign Investment Authority (NSIA), and the Ministry of Finance Incorporated. The plan also includes partnerships with private sector players and multilateral institutions.
“This initiative will strengthen the confidence of the financial system, expand credit access, and support under-served groups such as women and youth. It will drive growth, re-industrialisation, and improve living standards for our people,” Tinubu added.
The Nigerian Consumer Credit Corporation, launched by Tinubu in May 2024, aims to improve access to credit for employed Nigerians. The initiative, which began with federal civil service employees, will soon be expanded to the general public.
The National Credit Guarantee Company is part of the administration’s broader efforts to boost credit access and support economic revitalization.