CrediCorp: 500k civil servants to benefit from N100bn consumer credit scheme

The Nigerian Consumer Credit Corporation (CrediCorp) says 500,000 civil servants will benefit from the N100 billion consumer credit scheme.

CrediCorp announced this during the signing of a memorandum of understanding (MoU) with Credit Direct, a subsidiary of FCMB Group, to kick-start the scheme in Lagos.

The corporation said the partnership would accelerate mass access to consumer credit starting with civil servants across the country.

“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 percent of economically active Nigerians by 2030,” CrediCorp said.

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

The scheme, which CrediCorp said will start in September, will offer discounted consumer credit to more than 15,000 civil servants per round.

Uzoma Nwagba, chief executive officer (CEO) of CrediCorp, said civil servants on the integrated payroll and personnel information system (IPPIS) will now have access to exclusive offers including reduced interest rates and flexible repayment plans for the purchase of domestic goods, mobility, medical care, electronics and other household needs.

‘APPLICANTS ENTITLED TO N30,000-N3MILLION LOAN’

He said each applicant is entitled to a loan between N30,000 and N3 million depending on their capability to repay.

“We are excited to kick off President Bola Tinubu’s consumer credit scheme with civil servants as Mr. President has promised,” Nwagba said.

“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.

“This is just the start of a long and exciting journey with many parts and linkages that ultimately catalyse local industries as we expand consumption.”

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

Nwanze said civil servants are vital to the nation’s growth and stability, reiterating the company’s commitment to supporting them with accessible credit facilities.

“This partnership with CrediCorp allows us to extend our services to more individuals, ensuring that all civil servants can access the funds they need quickly and easily, up to N3.5 million depending on their income and need,” he said.

On April 24, the federal government approved the takeoff of the first phase of the consumer credit scheme and launched a portal for Nigerians to apply.

The government said the scheme, which aims to broaden consumer credit availability, will be rolled out in phases, starting with civil servants, and then extended to the general public.

On June 27, the presidency said over 40,000 civil servants have applied in the initial phase of the consumer credit scheme and will receive the first tranche of payment in weeks.