Infostride News: The Presidential Council on Industrial Revitalization has taken a significant step forward by establishing a Technical Working Group comprising members from key entities such as the Central Bank of Nigeria (CBN), the National Identity Management Commission (NIMC), and the Federal Competition and Consumer Commission (FCCPC). The move aims to formulate a comprehensive framework that enhances consumer credit in Nigeria, addressing various challenges hindering access to credit across the nation.
Alongside representatives from the National Insurance Commission (NAICOM), the National Institute of Credit Administration (NICA), the Bank of Industry (BOI), and the Federal Inland Revenue Service (FIRS), the Technical Group is set to play a pivotal role in shaping the future of consumer credit in Nigeria. The Minister of Industry, Trade, and Investment, Dr. Doris Nkiruka Uzoka-Anite, released a statement on Wednesday outlining the Committee’s objectives and the anticipated timeline for achieving them.
The Committee, equipped with a diverse set of stakeholders, aims to achieve several specific objectives over the next five months. These include boosting consumer credit uptake in Nigeria, establishing a sustainable credit system aligned with global best practices, and enhancing the supporting infrastructure, including technology, data, financial institutions, and global partnerships, to foster a more robust credit environment.
Dr. Uzoka-Anite emphasized the importance of an efficient consumer credit system in fostering successful economies. In her address during the inaugural meeting of the Technical Working Group for Consumer Finance earlier in the week, she highlighted how a well-structured consumer credit system enhances market efficiencies and addresses gaps in consumption and productivity by providing immediate access to credit for consumers. She underscored the absence of such a system as a significant obstacle to financial inclusion and economic prosperity in Nigeria.
The Minister noted that while Nigeria boasts numerous financial institutions and credit schemes, many citizens still face significant obstacles in accessing credit due to various factors. These include stringent eligibility criteria, high-interest rates, identity-related challenges, fragmented data sources for proof of livelihood and financial worth, lack of awareness or understanding of credit processes, and inadequate credit available for lending.
In response to these challenges, the Technical Working Group is adopting a holistic consultative approach. By leveraging the collective experience, knowledge, and expertise within the credit ecosystem, the Committee aims to comprehensively understand the issues within the industry and define viable solutions to address them.
Dr. Uzoka-Anite stressed that the establishment of the Technical Working Group by the Presidential Council on Industrial Revitalization is not only timely but also strategic. It represents an initiative aimed at proposing and implementing a viable institutional and regulatory framework capable of significantly improving the consumer credit landscape in Nigeria.
The Minister for Industry, Trade, and Investment, Dr. Uzoka-Anite, serves as the Vice Chair of the Presidential Council for Industrial Revitalization. This council is chaired by the Minister of Finance and Coordinating Economy, Mr. Olawale Edun, with the Honourable Minister for Communications, Innovations, and Digital Economy, Dr. ‘Bosun Tijani, playing a key role in driving these crucial initiatives forward. The collaborative efforts of these ministries and regulatory bodies underscore the government’s commitment to addressing challenges and fostering an environment conducive to the growth of consumer credit in Nigeria. As the Technical Working Group embarks on its mission, the nation eagerly anticipates the positive impact of its recommendations on the financial well-being of its citizens and the overall economic landscape. Infostride News remains committed to providing updates on this noteworthy development and its implications for Nigeria’s economic trajectory.
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