National Credit Guarantee Company Limited: Powering Inclusive Growth Through Risk-Sharing Guarantees | Prestige News

The National Credit Guarantee Company Limited (“NCGC” or the “Company”) is set to commence operations on 01 July 2025, as 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.

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

Our 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.

Guiding Principles

The company’s operations are underpinned by globally accepted credit risk-sharing principles:

• Risk-sharing, not risk transfer

• Strategic issuance to preserve borrower discipline

• Tiered eligibility to promote inclusion and developmental impact

• Full alignment with CBN regulations

These principles ensure every guarantee issued is responsible, irrevocable, and impact-driven.

Product Suite

NCGC offers a diverse set of guarantee products:

• Individual Guarantees – For high-value, project-specific loans.

• Portfolio Guarantees – For pool of loans in homogeneous sectors (e.g., agro-processing, creative economy).

• Performance Bond Guarantees – For businesses seeking to meet contract-based obligations.

Sectoral Coverage

Our guarantees are available across critical sectors including:

• Agriculture & Agribusiness – From inputs to processing and logistics.

• Renewable Energy & Green Economy – Including solar, clean tech, and mini-grids.

• Manufacturing & Infrastructure – Targeting value-added production and light industry.

• Digital & Tech Enterprises – Including startups, fintechs, SaaS, and logistics tech.

• Solid Minerals and Metal – Metal fabrication, recycling, beneficiation, coating, etc.

• Textile – Fashion, leather works, jewelry

• Export-Oriented SMEs – Especially in non-oil sectors.

• Women & Youth Enterprises – Including all women-owned businesses (promoter age not more than age 65).

• Islamic Enterprises (coming soon) – Non-interest, Shariah-compliant financing models.

A New Era of Credit Confidence

NCGC is more than just a financial institution; it is a catalyst for Nigeria’s economic transformation. By incentivizing lenders to serve more businesses safely and sustainably, NCGC is enabling job creation, driving productivity, and fostering a more self-reliant economy.

Its operational model is built to:

• Unlock access to finance for real sector growth

• Create jobs and alleviate poverty

• Drive inclusive economic outcomes

• Strengthen the MSME ecosystem

• Build trust and scale in Nigeria’s credit markets

Join Us in Guaranteeing Growth

The NCGC serves as a key pillar in the implementation of the Renewed Hope Agenda. It represents the government’s bold commitment to supporting Nigerian businesses, reducing the risks of lending, and creating a resilient, inclusive economy. Whether you’re a lender, development partner, or entrepreneur, NCGC is your dependable ally in building sustainable growth.

For Enquiries:

Email: info@ncgc.ng

Address: 8th Floor, BOI House, Plot 256, Zone AO, Off Herbert Macaulay Way, Central Business District, FCT–Abuja

Website: www.ncgc.ng