FG to Connect Nigerians’ Credit Scores to NIN; Loan Defaulters May Face Passport and Other Penalties

The Federal Government is gearing up to introduce a reform that links Nigerians’ credit scores directly to their National Identification Numbers (NIN), aiming to create a unified and transparent credit system nationwide.

Uzoma Nwagba, Managing Director of the Nigerian Consumer Credit Corporation (CREDICORP), revealed this initiative during a media briefing at the State House in Abuja on June 17. The plan involves consolidating credit information from banks, fintech firms, microfinance institutions, and other financial bodies into a centralized national credit bureau.

“This is a game-changer for credit in Nigeria. Your NIN will become your financial identity. Whether you borrow from a bank, micro-lender, or fintech, your credit history will be tracked and carry consequences,” Nwagba explained.

The system will build a national credit database, providing each Nigerian with a credit profile based on their borrowing and repayment habits. Loan defaulters can expect real repercussions, such as difficulties renewing passports, driver’s licenses, or even securing housing.

“There will be no hiding place,” he warned, adding that all financial institutions will be required to report credit activities.

However, Nwagba emphasized that the goal isn’t to punish but to encourage responsible borrowing. “It’s about promoting discipline and rewarding good financial behavior,” he said.

The credit scoring system will incorporate both financial and non-financial data to create a comprehensive profile for every adult Nigerian. The ultimate aim is for every citizen to have a credit score, with access to economic opportunities tied to how well they manage their finances.

This reform aligns with President Bola Tinubu’s Renewed Hope Agenda, which targets improved living standards, reduced corruption, and industrial growth. “It’s not just about credit; it’s about opening doors to better lives. When people lack capital, they might turn to unethical means. We’re changing that,” Nwagba stated.

Additionally, the reform seeks to boost local production by linking credit facilities to the purchase of made-in-Nigeria goods, thereby stimulating demand, creating jobs, and supporting sustainable economic growth.

Nwagba called on the private sector to back the initiative, noting that Nigeria’s credit gap, estimated at 183 trillion naira, is too vast for the government to handle alone. “No government can fund that level of credit. But with strong institutions and transparency, lenders will gain confidence, interest rates will drop, and Nigerians will gain real access to affordable credit,” he concluded.