Accion Microfinance Bank and Nigeria Consumer Credit Corporation have joined forces to offer affordable financing for tricycles and motorcycles to riders in Lagos. The vehicles were officially handed over to the riders at a ceremony held in Lagos on Thursday.
During the event, the Managing Director/CEO of Accion Microfinance Bank, Taiwo Joda, expressed appreciation to President Bola Tinubu for his vision and initiative. Joda explained that when CrediCorp reached out to propose the idea, Accion Microfinance Bank eagerly accepted, emphasizing that the goal was not just financial intervention but to create meaningful opportunities for individuals. He added that the effort is aimed at promoting financial health and encouraging Nigerians to embrace hard work rather than resorting to corrupt practices. He emphasized that with the right tools, there are no limits to how far Nigerians can progress.
Joda also highlighted Accion MFB’s critical role in connecting underserved individuals to financial opportunities and vehicles that could improve their quality of life. The bank partnered with CrediCorp, which operates as a wholesale banker, providing funding for the vehicles. Accion MFB offers the tricycles at a cost of N3.6 million each, with the option to pay in installments over 24 months. This approach removes the risk for users, assuring CrediCorp that their money will be repaid, as the bank has assessed the riders’ reliability and trustworthiness using its risk algorithm.
He encouraged the riders to follow traffic laws and shared plans to expand the initiative to Ilorin, Kano, and Kaduna, with a focus on including more women in the program.
The CEO of Nigeria Consumer Credit Corporation, Uzoma Nwagba, emphasized the positive economic impact of consumer credit, stating that it is a crucial tool to improve people’s quality of life and reduce the pressure to amass funds illegally. He highlighted that this initiative would stimulate the local industry by encouraging the purchase of locally made goods, thereby creating millions of jobs.
Joseph Osanipin, the Director-General of the National Automotive Design and Development Council, called for an increase in local content in the production of the vehicles. He urged manufacturers to aim for 50% local content in tricycles. Osanipin shared that he had spoken with the Bank of Industry to support local suppliers of vehicle components, as CrediCorp will not fund them. This, he stated, would further stimulate the economy, improve the multiplier effect, and reduce reliance on foreign exchange.
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