National Credit Guarantee CompanyPresident Bola Tinubu has highlighted the first-year performance of the National Credit Guarantee Company, saying the Federal Government-backed initiative helped financial institutions extend ₦46.95 billion in loans to 67,512 borrowers across Nigeria.
Tinubu said the National Credit Guarantee Company, also known as NCGC, provided ₦21.59 billion in guarantees to participating financial institutions, enabling the lenders to extend more than twice that amount in credit.
The President disclosed the figures on Monday while reviewing the first year of the company’s operations and outlining his administration’s efforts to expand access to formal credit.
According to the figures released by the government, the National Credit Guarantee Company has reached borrowers across 25 states and the Federal Capital Territory, while 11,374 beneficiaries are women.
Tinubu also said 33.5 per cent of the beneficiaries were first-time formal borrowers, meaning more than 22,000 Nigerians entered the formal credit system through loans supported by the scheme.
The figures are consistent with data earlier released by NCGC during its 2026 stakeholders’ forum. The company said that, as of August 2026, its ₦21.59 billion guarantee cover had facilitated about ₦46.95 billion in loans to 67,512 end-borrowers.
NCGC says ₦1 guarantee unlocked ₦2.17 in credit
One of the major figures highlighted in the review is the relationship between the amount guaranteed by the National Credit Guarantee Company and the actual loans provided by participating lenders.
With ₦21.59 billion in guarantees supporting ₦46.95 billion in loans, the scheme recorded what NCGC describes as a 2.17-fold credit mobilisation ratio.
In practical terms, approximately ₦2.17 in lending was generated for every ₦1 covered by the guarantee programme.
The company currently works with 19 participating financial institutions, made up of 13 commercial banks, three microfinance banks and three development finance institutions.
Unlike a conventional government loan programme in which an agency directly lends money to beneficiaries, the National Credit Guarantee Company shares part of the lending risk with financial institutions.
The banks and other participating lenders remain responsible for assessing borrowers, approving facilities, monitoring loans and recovering repayments.
By absorbing an agreed portion of the risk associated with qualifying loans, NCGC is intended to encourage lenders to finance businesses and individuals who may have viable economic prospects but struggle to meet traditional collateral requirements.
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Tinubu links programme to credit-based economy
Tinubu said the National Credit Guarantee Company was established because many Nigerian businesses continue to struggle to obtain formal financing despite having potentially viable operations.
The President identified inadequate collateral and the absence of formal credit histories as two barriers preventing businesses from obtaining loans.
He said the guarantee structure gives financial institutions greater confidence to lend to customers they might otherwise consider too risky.
Tinubu linked the initiative to his administration’s broader objective of building what it describes as a credit-based economy, where households and businesses have greater access to financing instead of relying entirely on savings before making significant purchases or investments.
The government has developed several initiatives under that broader credit policy.
They include the Nigerian Consumer Credit Corporation, CREDICORP, which focuses on consumer credit, and the Nigerian Education Loan Fund, NELFUND, which provides loans for eligible students.
The Bank of Industry and Development Bank of Nigeria also provide financing to businesses.
More than 22,000 Nigerians become first-time formal borrowers
Beyond the value of loans, the first-year review shows that 33.5 per cent of beneficiaries supported by the National Credit Guarantee Company had not previously borrowed through the formal financial system.
That represents more than 22,000 Nigerians obtaining their first formal credit facilities.
Tinubu said entering the formal financial system gives such borrowers an opportunity to establish credit histories.
A borrower’s repayment record can subsequently become part of the information used by lenders when considering future credit applications.
For small business operators who previously depended on personal savings, family support or informal lenders, access to formal credit can potentially provide another source of capital for expansion.
However, the long-term significance of the programme will depend not only on how many loans are approved but also on repayment performance, affordability, interest rates and whether beneficiaries can sustainably grow their businesses.
Women account for less than one-fifth of beneficiaries
The gender distribution in the first-year figures also provides another important measure of the programme’s reach.
Of the 67,512 borrowers supported, 11,374 were women.
That represents approximately 16.8 per cent of total beneficiaries.
The figures therefore show that women accounted for fewer than one in five borrowers during the period under review.
NCGC has subsequently placed greater emphasis on financing women-owned and women-led businesses through an initiative known as GuaranteeHer.
The programme is targeting more than ₦100 billion in financing for over 20,000 women-owned businesses during a five-year period and aims to support more than 150,000 direct and indirect jobs.
Under the initiative, participating lenders are expected to benefit from additional risk protection when financing qualifying women-owned businesses.
NCGC cites 661,291 jobs linked to supported businesses
Tinubu also said the National Credit Guarantee Company estimates that businesses supported through its intervention account for 661,291 direct and indirect jobs.
The figure requires careful interpretation.
It does not necessarily mean that 661,291 entirely new jobs were created during the company’s first year.
Available NCGC reporting describes the number as an estimate of direct and indirect jobs associated with businesses supported through the credit intervention.
That distinction is important when assessing the economic impact of public credit programmes.
Determining the actual number of jobs created would require comparing employment levels before and after beneficiaries received financing and establishing how much of any employment growth could reasonably be linked to the loans.
Nevertheless, access to finance can enable businesses to restock, acquire equipment, fulfil larger orders or expand production, all of which can affect employment.
First-year figures offer early measure of scheme
The National Credit Guarantee Company commenced operations on July 1, 2025 as a Federal Government-backed institution established to improve access to credit through guarantees and other risk-sharing arrangements.
Its first-year numbers provide an early indication of the scale of the intervention.
The company reported ₦21.59 billion in guarantee cover, ₦46.95 billion in credit, 67,512 borrowers, operations across 25 states and the FCT, and more than 22,000 first-time formal borrowers.
But those figures represent only one stage in assessing the programme.
Other important measures will include loan repayment rates, default levels, interest costs, geographical distribution, accessibility to micro and small enterprises and the performance of businesses after receiving financing.
The proportion of women beneficiaries will also be watched as the National Credit Guarantee Company expands its gender-focused financing programmes.
Tinubu promises wider credit access
Tinubu said his administration would continue expanding access to formal financing for Nigerians and businesses.
The President argued that improved access to credit could allow traders to replenish inventory, manufacturers to purchase equipment and businesses to take advantage of opportunities without waiting to accumulate all the required capital beforehand.
The first-year performance of the National Credit Guarantee Company therefore offers measurable evidence of how much credit has been mobilised under the programme.
Whether those numbers translate into sustained business expansion, stronger repayment histories, wider financial inclusion and measurable employment gains will become clearer as the programme matures and more performance data become available.
National Credit Guarantee Company
