Consumer credit not a crime – FG

The Managing Director and Chief Executive Officer of the Nigerian Consumer Credit Corporation (CREDICORP), Mr. Uzoma Nwagba, has called on Nigerians to embrace consumer credit as a powerful tool for improving their quality of life, insisting that responsible borrowing is not a crime but a pathway to economic empowerment.

Speaking at a sensitisation event in Kano, Nwagba said the initiative, introduced by President Bola Ahmed Tinubu, aims to shift Nigeria away from its cash-and-carry culture, which has made essential goods and services unaffordable for millions of citizens.

“Many Nigerians save for years just to buy basic things like a car, furniture, or solar systems. With credit, you don’t have to wait. You can access what you need now and repay gradually. That’s what this initiative is about,” he said. 

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He explained that the corporation is focused on three major tasks: strengthening the legal and regulatory framework for consumer credit; providing capital and guarantees to financial institutions; and, most importantly, driving cultural reorientation.

“We’ve seen that many Nigerians are afraid or ashamed of credit. They see borrowing as a sign of desperation. We want to change that mindset. Credit, when used responsibly, is a tool for building a better life,” he said.

Nwagba disclosed that tens of thousands of Nigerians have already accessed consumer credit through financial institutions under the scheme. CREDICORP, he noted, does not lend directly but enables microfinance banks, fintechs, and licensed finance companies with capital and guarantees.

“When a bank or a microfinance institution is confident that it can recover its money, it will lend more. We’re de-risking the process and making it easier for them to lend to everyday Nigerians,” he added.

Addressing concerns from Kano’s predominantly Muslim population about interest-based lending, the CREDICORP boss said the agency has designed interest-free products in collaboration with Islamic financial institutions.

“Kano is not just an economic hub of the North, it’s a cultural centre too. We understand Islamic finance and have Sharia-compliant options. That’s why we are starting this cultural reorientation here in Kano,” he said.

He urged residents to explore participating financial institutions and available products, as well as reassured the public of ongoing interventions targeting women, youth, and solar energy financing.

“We want every Nigerian, regardless of income level or religion, to have access to the goods and services that make life better. If you earn N100,000, you can still get that laptop, solar system, or even a car now and pay gradually,” Nwagba concluded.