Credit Guarantee Scheme unlocks N46.95bn in loans, Tinubu says

President Bola Tinubu has revealed that the National Credit Guarantee Company (NCGC), through 19 financial institutions, has helped unlock N46.95 billion in loans during its first year of operations. The disclosure was contained in a series of posts on President Tinubu’s X (formerly Twitter) account on Monday, September 28, 2026, where he stated that NCGC issued N21.59 billion in guarantees to participating financial institutions. Tinubu said this means the financial institutions have extended about N2.17 in loans for every N1 in guarantees provided by the Federal Government.

The president said the initiative was established to address difficulties faced by viable businesses seeking loans with little collateral or no credit history.

NCGC unlocks N46.95 billion credit

Tinubu said the NCGC carries part of the lending risk with participating financial institutions, giving them greater confidence to lend to businesses and borrowers they might otherwise turn away.

• “Many viable businesses still meet the same obstacle at the bank. Lenders see too much risk in a sound business when the owner has little collateral or no credit history. We established NCGC to help change that. It carries part of the lending risk with participating financial institutions, giving them greater confidence to lend to businesses and borrowers they might otherwise turn away.”

According to Tinubu, the NCGC works through 19 financial institutions, comprising 13 commercial banks, three microfinance banks and three development finance institutions.

• “One year into operations, we can see what that model is doing. NCGC has issued N21.59 billion in guarantees. On the strength of those guarantees, participating lenders have extended N46.95 billion in loans. That means every N1 in guarantees has helped unlock about N2.17 in credit,” he said.

The president noted that 67,512 borrowers across 25 states and the Federal Capital Territory (FCT) have received credit backed by NCGC, including 11,374 women, while 33.5 per cent are first-time formal borrowers.

• “For more than 22,000 Nigerians, this is their first entry into the formal credit system. They now have a credit record they can build. Each successful repayment strengthens that record and can make the next loan easier to secure,” he added.

Tinubu links NCGC to credit economy

Tinubu said that while contesting for the presidency, he promised to move Nigeria towards a credit-based economy and establish a loan guarantee scheme that would help small businesses overcome financial barriers.

He said the promise was aimed at creating practical access to finance for workers and businesses, allowing individuals to meet household needs over time while enabling small businesses to invest against expected future income.

• “When I sought your mandate, I promised to move Nigeria towards a credit-based economy and to establish a loan guarantee scheme that would help small businesses overcome the barriers that keep them from finance.”
• “Through CREDICORP, working Nigerians can access consumer credit. Our students can finance their education through NELFUND, while the Bank of Industry and Development Bank of Nigeria continue to lend to businesses. The National Credit Guarantee Company takes on one of the hardest barriers to business credit.”

According to the president, NCGC estimates that businesses it has supported account for 661,291 direct and indirect jobs.

• “This is how we move from reforms to opportunities. Our reforms laid the foundation. Credit gives Nigerians the means to build on it. Tens of thousands who stood outside formal credit a year ago are now inside, borrowing to grow,” he added.

NCGC expands consumer credit partnership

In July this year, the Nigerian Consumer Credit Corporation (CREDICORP) and the National Credit Guarantee Company Limited (NCGCL) signed a Memorandum of Understanding (MoU) to establish a risk-sharing partnership aimed at expanding access to consumer credit for qualified Nigerians.

The agreement was designed to reduce lending risks for financial institutions by providing partial credit guarantees and unlocking more wholesale funding for consumer lending through CREDICORP’s network of Participating Financial Institutions (PFIs).

Under the partnership, the National Credit Guarantee Company was expected to provide partial credit guarantee coverage for lending and advances made through CREDICORP’s Participating Financial Institutions.