Lilian Ugwu
The Coalition of Microlending and Cooperative Institutions in Nigeria (COMCIN) has intensified efforts to close Nigeria’s SME financing gap with the rollout of a N100 million joint loan facility, positioning grassroots lenders as critical drivers of financial inclusion.
The initiative, implemented in partnership with NEAT Microcredit, reflects a strategic shift away from conventional banking models by leveraging micro-lending institutions to channel funds directly to underserved segments of the informal economy.
Speaking on behalf of the Chairman, Dr Iredele Oyedele, the Executive Director of COMCIN, Micheal Ogbaa, said the coalition’s community-based structure gives it a unique advantage in reaching entrepreneurs typically excluded from formal credit systems.
According to him, the facility prioritises credible small businesses with proven track records, offering low-interest financing and flexible repayment options of up to N5 million per beneficiary.
Westbridge analysis indicates that the model could significantly expand access to capital at the base of the economic pyramid, particularly as the scheme scales beyond its current footprint in Lagos to Abuja and Enugu.
With over a dozen institutions already onboarded and additional applications under review, COMCIN is positioning the pilot phase as a proof of concept to attract larger pools of funding from development finance institutions and private investors.
The coalition projects that, with sustained transparency and institutional confidence, the platform could support up to 100,000 SMEs nationwide, reinforcing its role as a viable conduit for inclusive economic growth.
Juliet Ezeh is the founder and chief reporter at Westbridge Reporters with over 7 years of experience in journalism. She covers crime, industry, policy, and social developments, delivering timely and accurate reporting.