Collateral Registry Fast-tracks N16trn Credit To MSMEs  

The Registrar, National Collateral Registry (NCR) Mr Musa Bulus has said from inception of the registry till date, over 500,000 MSMEs have accessed credit from various banks totaling  N16 trillion using their farm equipments, inventory, jewelry, farm products.

According to him, the Registry is a financial infrastructure set up by the Central Bank of Nigeria (CBN) with support from the international finance Corporation, World Bank Group to address the challenges around access to finance by Micro, Small and Medium Enterprises.

Bulus made the disclosure at a town hall meeting for MSMe’s in the ICT, E-commerce & Poultry value Chains and Financial Institutions in collaboration with the Deutsche Zusammenarbeit (GiZ) a German based international organisation, and CBN at Crespan hotel in Jos the  Plateau State capital.

Represented by Mr Christian Nwosu explained that it is an online database that allows lenders register their interest and determine their priority interests over movable property taken as collateral for loans.

He said the information registered with NCR will enables other financial institutions to verify whether a movable collateral given by MSMEs owner in seeking for loan has been used in other banks as collateral by the loan takers.

RELATED

Consumers Paid N21,010 For 12.5kg Cooking Gas In June – NBS

12 hours ago

Insurers To Recapitalise as Tinubu Signs Insurance Reform Bill Into Law

12 hours ago

Bulus further explained that the law allows loan takers to use the items given as collateral for businesses since using the items will also aid the repayment of the loan.

In her opening address Stella Yusuf Dimlong, local economic and value Chain development advisor GIZ said over the years access to finance is a big problem for the operators  MSMEs adding that the town hall meeting on Access to finance is timely.