National Credit Guarantee Company Limited: Powering Inclusive Growth Through Risk-Sharing Guarantees | Blissful Affairs Online
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 BeneficiariesNCGC’s framework targets a wide range of beneficiaries:MSMEs across all regionsLocal manufacturers and value chain operatorsCredit consumers Youth and women-led enterprisesExport-oriented and non-interest-based businessesLarge enterprises within priority sectorsOur Core ServicesNCGC 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 PrinciplesThe company’s operations are underpinned by globally accepted credit risk-sharing principles:Risk-sharing, not risk transferStrategic issuance to preserve borrower disciplineTiered eligibility to promote inclusion and developmental impactFull alignment with CBN regulations
These principles ensure every guarantee issued is responsible, irrevocable, and impact-driven.Product SuiteNCGC 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 CoverageOur 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 ConfidenceNCGC 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 growthCreate jobs and alleviate povertyDrive inclusive economic outcomesStrengthen the MSME ecosystemBuild trust and scale in Nigeria’s credit marketsJoin Us in Guaranteeing GrowthThe 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.ngAddress: 8th Floor, BOI House, Plot 256, Zone AO, Off Herbert Macaulay Way, Central Business District, FCT–AbujaWebsite: www.ncgc.ng
