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NCGC Backs ₦64.13bn Loans for 174,495 Borrowers

byStephen Abebor
October 27, 2026
in Economy, Banking, Business
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NCGC Backs ₦64.13bn Loans for 174,495 Borrowers
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The National Credit Guarantee Company Limited (NCGC) has supported ₦64.13 billion in loans to 174,495 borrowers across Nigeria’s 36 states and the Federal Capital Territory, using ₦30.19 billion in credit guarantees since commencing operations in 2025.

The Managing Director and Chief Executive Officer of NCGC, Dr Bonaventure Okhaimo, disclosed the figures during a briefing in Abuja, highlighting the company’s efforts to expand access to formal financing for businesses and individuals who struggle to obtain bank loans.

According to the figures presented by Okhaimo, every ₦1 provided in guarantees has helped unlock approximately ₦2.12 in credit through participating financial institutions.

The company currently works with 19 financial institutions, comprising commercial banks, microfinance banks and development finance institutions, to facilitate lending to eligible borrowers.

Women account for 74,503 beneficiaries, representing approximately 42.7% of the total, while 22,616 borrowers, or about 13%, accessed formal financing for the first time. Another 7,731 beneficiaries were recorded under youth empowerment.

Trade and commerce, alongside agribusiness and agro-processing, accounted for more than 80% of beneficiaries, according to the figures presented at the briefing.

The results highlight the role of credit guarantees in connecting small businesses and underserved borrowers to formal financing, although the scale of the programme’s long-term impact will depend on repayment performance and the sustainability of supported businesses.

Under the scheme, NCGC does not lend directly to beneficiaries. Instead, it guarantees an agreed portion of eligible loans issued by participating financial institutions, sharing some of the credit risk when borrowers default.

The arrangement is designed to encourage lenders to finance viable businesses that might otherwise struggle to meet conventional collateral requirements or establish sufficient credit histories.

NCGC’s approach is consistent with the institution’s stated mandate of widening access to finance through partial credit guarantees, co-guarantees and technical assistance, as outlined on its official website.

The programme has also been linked to substantial employment activity. According to figures presented by Okhaimo, participating financial institutions reported 175,481 direct jobs associated with supported borrowers, while indirect employment was estimated at 739,310, bringing the total to 914,791 jobs impacted.

The figures cover reported and estimated employment linked to the supported businesses and do not necessarily represent jobs newly created solely through the guarantee scheme.

NCGC is also targeting women-owned businesses through GuaranteeHer, a gender-responsive credit guarantee initiative launched in July 2025.

According to the programme’s stated targets, GuaranteeHer aims to mobilise more than ₦100 billion in financing over five years for over 20,000 women-owned micro, small and medium-sized enterprises, with the potential to support more than 150,000 jobs.

The initiative works through existing women-focused lending programmes offered by financial institutions, using guarantees to help reduce lending risks and improve access to credit. Depending on the participating lender and facility, the arrangement is intended to support more favourable borrowing conditions, including lower interest rates, reduced collateral requirements and longer repayment periods.

The company has also established partnerships aimed at strengthening its reach. These include a memorandum of understanding with the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) to support financial literacy and an agreement with the Nigerian Consumer Credit Corporation (CREDICORP) on risk-sharing arrangements.

Other institutions associated with its activities include the Bank of Industry, the National Insurance Commission, the Nigeria Deposit Insurance Corporation and the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending.

Incorporated in May 2025 with a capital base of ₦100 billion, NCGC is jointly owned by the Bank of Industry, Ministry of Finance Incorporated, Nigeria Sovereign Investment Authority and CREDICORP.

The latest figures point to an expansion in the company’s reach as Nigeria continues to grapple with financing constraints facing small businesses. Whether the intervention can translate into sustained business growth and affordable credit will depend on how effectively lenders deploy the guarantees and how well borrowers repay their loans.

Tags: Bank of IndustryBonaventure OkhaimoBusiness FinancingCREDICORPcredit guaranteesGuaranteeHerMSMEsNCGCNigeria EconomyNigerian banksSmall BusinessesWomen Entrepreneurs
Stephen Abebor

Stephen Abebor

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