The Managing Director of the Nigerian Consumer Credit Corporation, CREDICORP, Uzoma Nwagba, has disclosed that Nigeria will need about N183 trillion in credit to effectively develop the country towards an efficient consumer credit facility.
This is just as the federal government agency is mulling a system where it would henceforth link citizens’ credit scores to the National Identification Number, NIN, as a mandatory requirement to qualify for loans.
Nwagba revealed this on Tuesday, noting that the policy will establish a centralised credit bureau for the whole country and build a comprehensive database of Nigeria’s credit profiles.
While interacting with State House reporters at the ‘Meet The Press’ event, organised by the Presidential media team, he explained that linking credit scores to the NIN of potential loan beneficiaries will instil a sense of discipline to pay back.
According to CREDICORP, all lenders will be required to report loan repayments, guaranteeing that every Nigerian maintains an accurate credit score.
“More importantly, there will be consequences for loan defaulters, but these will be subtle and structured rather than predatory,”; he told reporters.
“Maybe you want to renew your passport, but if something shows that you owe money somewhere, you may not be able to proceed. The same applies to renewing your driver’s license or renting a house. There is no hiding place.
“This system ensures that whether your money is in a commercial bank, FinTech, or microfinance institution, loans taken and not repaid will be tracked and recoverable.
“The essence is for everyone to have a credit score. We are gathering comprehensive financial and non-financial data to develop a structural algorithm that will score every Nigerian; there will be no hiding place for anyone again.”;
