It is good news for Micro, Small, and Medium Enterprises (MSMEs), as the National Credit Guarantee Company (NCGC), on July 1, 2025, commenced operations.
A brainchild of President Bola Tinubu’s Renewed Hope Agenda to unlock economic potential, the NCGC is set up to revolutionize credit access for Nigerian businesses, particularly Micro, Small, and Medium Enterprises (MSMEs), thereby catalyzing productivity, job creation, and broad economic growth.
The NCGC, will partner with Participating Financial Institutions (PFIs) including commercial banks, microfinance banks, fintechs, CBN-licensed institutions and other development financial institutions to share lending risk and support broader financial inclusion. The model is simple but powerful: enable lenders to do more by reducing the risk that prevents them from reaching viable, underfunded borrowers.
The commencement of operations was announced in a statement by the Managing Director/CEO of the company, Mr. Bonaventure Okhaimo. According to him, as “NCGC begins its operations, we seek the collaboration and support of our customers, domestic, and foreign partners. We are committed to transparently and diligently implementing our mandate, and we assure you of our utmost dedication to achieving this vision.”
The full statement reads: “It is with immense pleasure and great optimism that I announce the official commencement of operations of the National Credit Guarantee Company (NCGC), fulfilling President Bola Ahmed Tinubu’s promise to unlock economic potential. NCGC is poised to revolutionize credit access for Nigerian businesses, particularly Micro, Small, and Medium Enterprises (MSMEs), thereby catalyzing productivity, job creation, and broad economic growth in line with the President’s Renewed Hope Agenda.
As we embark on this journey, we will engage in robust consultations with our regulators, private sector organizations, financial institutions, and stakeholders to ensure our policies and processes meet global best practices and exceed expectations. Through these partnerships, we will deliver world-class services that drive economic development.
As NCGC begins its operations, we seek the collaboration and support of our customers, domestic, and foreign partners. We are committed to transparently and diligently implementing our mandate, and we assure you of our utmost dedication to achieving this vision.
Thank you.
Bonaventure Okhaimo
MD/CEO, National Credit Guarantee Company”
For those who do not know, the National Credit Guarantee Company Limited (“NCGC” or the “Company”) is a specialised financial institution established to unlock access to credit and drive inclusive economic growth across Nigeria’s real economy. With an initial capital commitment of ₦100 billion, recently announced by President Bola Ahmed Tinubu, the NCGC is positioned to reshape how Micro, Small and Medium Enterprises (MSMEs), manufacturers, and strategic sectors access much-needed financing.
It is not news that for decades, Nigerian businesses especially micro, small and medium scale enterprises have faced significant challenges accessing loans due to collateral barriers and high-risk perception. NCGC is bridging that gap. By providing partial credit coverage, the company will offer banks and other financial institutions a safety net, allowing them to lend more confidently to eligible borrowers, particularly in underserved and high-growth sectors.
NCGC does not lend directly to businesses. Instead, it partners with Participating Financial Institutions (PFIs) including commercial banks, microfinance banks, fintechs, CBN-licensed institutions and other development financial institutions to share lending risk and support broader financial inclusion. The model is simple but powerful: enable lenders to do more by reducing the risk that prevents them from reaching viable, underfunded borrowers.
Key Beneficiaries
NCGC’s framework targets a wide range of beneficiaries:
· MSMEs across all regions
· Local manufacturers and value chain operators
· Credit consumers
· Youth and women-led enterprises
· Export-oriented and non-interest-based businesses
· Large enterprises within priority sectors
Core Services
NCGC offers three primary services:
· Partial Credit Guarantees – Covering up to 60% of outstanding principal on qualifying loans.
· Co-Guarantees – Collaborating with other institutions to jointly share lending risk.
· Technical Assistance – Providing capacity-building support for lenders and borrowers to enhance credit readiness and portfolio quality.
