The Federal Government of Nigeria has introduced a new national credit tracking system that links all loan information to citizens’ National Identification Numbers (NIN). This move is aimed at strengthening the country’s credit infrastructure and enforcing better loan repayment discipline.
The platform will allow all financial institutions, including banks, fintechs, and microfinance lenders, to report and access borrowers’ credit histories using NIN as a unique identifier. The system will be managed by the Credit Corp Limited (CREDICORP), a newly established public-private agency.
Borrowers to Face Penalties for Default
During the official announcement in Abuja, the Managing Director of CREDICORP, Uzoma Nwagba, explained that defaulters may face restrictions in accessing government services. These could include difficulty renewing passports, driver’s licenses, or applying for government housing, among others.
He emphasized that financial behavior will now have direct consequences and that responsible borrowers will benefit from easier access to future loans and services.
YouthCred Program Also Announced
As part of the initiative, the government also launched the YouthCred Program, which targets over 400,000 young Nigerians, especially NYSC members. The program will offer low-interest structured credit to help youth build a healthy credit history early on.
This aligns with President Bola Tinubu’s Renewed Hope Agenda, which focuses on improving citizens’ standard of living and encouraging financial inclusion across the country.
What This Means for Nigerians
- All loans will now be tied to the borrower’s NIN
- Loan defaults may affect access to essential services
- YouthCred will offer easier access to credit for young people
- Lenders are required to submit accurate borrower data to the system
The new system is expected to increase lender confidence, reduce default rates, and encourage responsible financial behavior.
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