An Overview of the Guidelines for the Regulation and Supervision of Credit Guarantee Companies in Nigeria- Akin Akorede Folarin
In the first half of 2022, the Central Bank of Nigeria (the “CBN”) issued the Guidelines for the Regulation and Supervision of Credit Guarantee Companies in Nigeria (the “Guidelines”) in furtherance of the Bank’s efforts to improve access to finance and lending for micro, small and medium scale enterprises (“MSMEs”) in Nigeria. To achieve this, the Guidelines introduce a regulatory framework for credit guarantee schemes (“CGS”) in Nigeria to promote flexible collateral requirements by lenders, reduce credit risk, stimulate lower interest rates and accelerate economic growth in the country.
