The Federal Government has reiterated its determination to bridge the credit gap for Micro, Small and Medium enterprises (MSMEs), local manufacturers and credit consumers across Nigeria.
The newly launched National Credit Guarantee Company (NCGC), said this would boost access to credit for manufacturers.
Speaking at the Stakeholders’ Engagement Forum on the take-off of NCGC, in Lagos on Monday, the Managing Director and Chief Executive Officer, Bonaventure Okhaimo disclosed that the local manufacturing sector continues to grapple with severe credit constraints.
He referenced the Manufacturers Association of Nigeria (MAN) report which indicated that Q1’ 2025 exports tumbled by N746 billion, from N1.04 trillion in Q3 2024 to N294 billion, attributing the drop largely to crippling interest rates at 27.5%.
Additionally, 767 manufacturers closed in 2023, resulting in over 18,000 job losses in 2024.
He said, “MSMEs, which form the backbone of the Nigerian economy, contribute approximately 48 per cent to GDP and account for a vast majority of our labour force, yet they remain constrained in accessing credit. We do not lend directly. We provide partial credit guarantees. Our in-depth research will provide more details as to how we intend to do this.”
