NICA boosts awareness on consumer credit services

Amid the ongoing hardship faced by citizens in the country, the National Institute of Credit Administration (NICA) has promised to boost awareness on consumer credit services, urging the Federal Government to enforce appropriate laws that will instill decency, discipline and honesty in Nigeria’s credit system.

The Registrar/Chief Executive Officer of NICA, Prof. Chris Onalo, in a statement at the weekend, said that there will be less pressure on demand for money fueling inflation in the country if the country shifts from cash-based system and promote a viable consumer credit system that enables individuals to buy goods, access services on credit and pay later.

He said: “A developed credit system reduces cash transactions by enabling individuals to borrow to finance exigencies and other cogent projects, thereby, helping to stimulate domestic production and foster economic growth.

This is why as Nigeria’s statutory body for the control, supervision and regulation of the credit management profession, the National Institute of Credit Administration advocates an economy that promotes credit access and good repayment culture.

Onalo added: “These credits are given out by the lending institutions whose jobs are to keep depositors’ funds and make credit available to the public for economic development. The credits can also be provided by the government through a well-regulated programme, which will go a long way beyond the handout of palliatives and cash awards.”

According to reports, a large proportion of the country’s workforce is the small and medium-sized enterprises, because paid employment in the formal sector cannot employ all the youths.