N100bn consumer credit kicks off as FG targets 500,000 civil servants

The Nigerian Consumer Credit Corporation (CREDICORP) yesterday signed a memorandum of understanding with Credit Direct, a subsidiary of FCMB Group, to begin the disbursement of consumer credit to economically active Nigerians. The corporation is kicking off with civil servants, with over 500,000 targeted in the next one year with single-digit loans. At the MoU signing […]

The Nigerian Consumer Credit Corporation (CREDICORP) yesterday signed a memorandum of understanding with Credit Direct, a subsidiary of FCMB Group, to begin the disbursement of consumer credit to economically active Nigerians.

The corporation is kicking off with civil servants, with over 500,000 targeted in the next one year with single-digit loans.

At the MoU signing event on Tuesday in Lagos, CREDICORP stated that the partnership would accelerate mass access to consumer credit starting with civil servants across the country.

It would be recalled that President Bola Ahmed Tinubu had approved the implementation of the consumer credit scheme with a takeoff grant of N100bn.

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From this month, the kickoff offers discounted direct consumer credit to over 15,000 civil servants per round, according to the corporation.

CEO of CREDICORP, Uzoma Nwagba, stated that Civil servants on IPPIS now benefit from exclusive offers with reduced interest rates and flexible repayment plans for purchase of domestic goods, mobility, medical care, electronics and other household needs.

According to him, each applicant is entitled to a loan of between N30,000 to N3m depending on their capability to repay.

According to CREDICORP, the initiative is part of a much broader effort to support the well-being of Nigerians, which aligns with its mission to accelerate consumer credit access to 50% of economically active Nigerians by 2030.

“By going through Credit Direct today, and subsequently our other financial institutions coming on stream in the next days and weeks as we target 500,000 civil servants, they can access instant and affordable credit to cushion economic shocks or afford consumer goods to improve the quality of their lives.”

CEO of Credit Direct, Chukwuma Nwanze,  emphasized the importance of the partnership in fostering financial inclusion.”