The National Credit Guarantee Company (NCGC) has reaffirmed its commitment to tackling limited access to credit in Nigeria, with a strategic focus on supporting Micro, Small, and Medium Enterprises (MSMEs), local manufacturers, and underserved credit consumers.
At a stakeholders' meeting held in Lagos, NCGC highlighted its role as a long-awaited intervention in the credit market. The company was established under President Bola Tinubu's administration to provide partial credit guarantees that reduce the risks for lenders, thereby encouraging more lending to businesses and individuals typically excluded from formal financing.
NCGC is working to create a more inclusive and resilient credit system by collaborating with participating financial institutions (PFIs), leveraging data and technology, building sector capacity, and advocating for credit-friendly policies. With an initial capital base of ₦100 billion, the company aims to unlock sustainable financing across critical sectors.
The organization emphasized that its model does not involve direct lending. Instead, it provides a safety net by covering a portion of loan defaults, thereby minimizing the exposure of PFIs and enabling them to support more borrowers with confidence.
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In addition to its core work, NCGC expressed support for related government initiatives such as YouthCred, which was recently launched by the federal government and is managed by the Nigerian Consumer Credit Corporation (CrediCorp). YouthCred is designed to provide affordable consumer credit to 400,000 young Nigerians, including National Youth Service Corps (NYSC) members. Since April 2024, more than 90,000 beneficiaries have accessed structured credit under CrediCorp.
As financial inclusion in Nigeria continues to improve—rising from 54% in 2020 to 64% in 2023—NCGC aims to build on this momentum. The company is positioning itself as a key partner in transforming Nigeria's credit landscape and ensuring that viable entrepreneurs and consumers are empowered with access to finance.
Through ongoing engagement with DFIs, fintechs, microfinance institutions, and other stakeholders, NCGC is driving toward its mission of supporting national economic growth and reducing barriers to credit in the informal and formal sectors alike.
