NCGC provides N64.13 billion loans to help businesses and individuals

The National Credit Guarantee Company (NCGC) has helped provide N64.13 billion in loans to businesses and individuals since it started operations. This support has made it easier for Nigerians without traditional collateral to access finance.

Bonaventure Okhaimo, the Managing Director and Chief Executive Officer of NCGC, shared this information on Tuesday. He spoke at a news conference about the company's performance and how it has been carrying out its mandate at the State House in Abuja.

He mentioned that the company has given out N30.19 billion in credit guarantees. This support helps financial institutions to lend to viable businesses and individuals they might normally reject due to lack of collateral.

"Our value proposition is simple. We provide partial guarantees that reduce lending risks, increase the supply of credit and boost economic growth," Mr Okhaimo said.

He clarified that NCGC does not lend money directly but works with financial institutions to share lending risks. The company offers guarantee coverage of up to 60 percent under its standard framework.

"This allows lenders to say yes to borrowers they would otherwise turn away, often with less collateral and on better terms," he said.

As of October 21, Mr Okhaimo noted that the company had reached 174,495 borrowers across all 36 states and the Federal Capital Territory. This was achieved through partnerships with 19 financial institutions.

He also revealed that women made up 42.7 percent of the beneficiaries. Additionally, 22,616 micro, small and medium enterprises (MSMEs) accessed formal financing for the first time.

The NCGC boss stated that these interventions have supported an estimated 914,791 jobs. This includes 175,481 direct jobs and 739,310 indirect jobs linked to these businesses.

He added that the company has 7,731 beneficiaries under youth empowerment. They aim to increase credit access for young Nigerians.

To boost financing for women-owned businesses, Mr Okhaimo announced the introduction of GuaranteeHer. This gender-responsive credit guarantee initiative started on July 29 and was officially launched to stakeholders in Lagos on September 3.

He said the initiative aims for over N100 billion in lending over the next five years. They expect at least 20,000 women-owned enterprises to benefit, creating more than 150,000 jobs.

"Rather than create yet another product, we strengthen the programmes women already know. This way, lenders can offer lower interest rates, less collateral and longer repayment periods," he said.

Mr Okhaimo explained that GuaranteeHer provides coverage of up to 70 percent of eligible loan exposure. This is an increase from the standard 60 percent, with a maximum guarantee of N50 million per borrower.

The company has also launched its Credit Advantage Series. This series aims to help MSMEs improve their financial literacy, understand credit requirements and strengthen their ability to access and manage loans.

As part of this programme, he mentioned that NCGC is working with the Nigeria Revenue Service on a virtual engagement scheduled for Wednesday. This session will help businesses understand their tax obligations and requirements to participate in the formal economy.

The company started with N100 billion in capital, shared equally by the Bank of Industry, Ministry of Finance Incorporated, Nigeria Sovereign Investment Authority, and Nigerian Consumer Credit Corporation (CREDICORP).

Established on May 29, 2025, with the approval of President Bola Tinubu, NCGC received its operating license from the Central Bank of Nigeria on August 9, 2025. It operates under the Federal Ministry of Finance's oversight.

Mr Okhaimo said the capital base could support a guarantee portfolio of up to N1 trillion under the company’s leverage framework. This will allow it to mobilise more financing for businesses and individuals.

"Our goal is clear: no viable Nigerian business should be denied credit simply because it lacks collateral," he said.