The Coalition of Microlending and Cooperative Institutions in Nigeria (COMCIN), in partnership with NEAT Microcredit, has launched a N100 million loan facility to boost small and medium-scale enterprises (SMEs) and deepen financial inclusion across the country.
The fund, which will be disbursed through participating microfinance institutions (MFIs), is designed to reach grassroots entrepreneurs who are often excluded from traditional banking systems.
Speaking on the initiative, Micheal Ogbaa, COMCIN Executive Director, said the scheme aims to strengthen micro-lending institutions while expanding access to affordable credit for small businesses, particularly women and youth operating in the informal sector.
According to him, COMCIN does not lend directly to individuals but works through a network of microfinance and cooperative institutions that interface closely with SMEs.
“We came together to advocate for the microfinance ecosystem. While commercial banks tend to overlook grassroots entrepreneurs, our members are well-positioned to serve them. This facility will empower them to scale their impact,” Ogbaa said.
He added that the loan scheme offers relatively low interest rates and flexible repayment terms, making it more accessible to small business owners. Notably, about 90 per cent of the targeted beneficiaries are women, reflecting their critical role in household stability and local economic growth.
“Our focus is on traders, artisans, and service providers in the informal sector, the real drivers of the economy. Supporting them means strengthening families and fostering national development,” he said.
Under the scheme, qualified SMEs with credible track records can access loans of up to N5 million through participating institutions. The rollout has already commenced in Lagos and is set to expand to Abuja, Enugu, and other regions across the South-West, South-East, and North-East.
Ogbaa disclosed that 12 micro-lending institutions have benefited from the initial phase, while 85 additional applications are currently under review.
“Our goal is to support at least 100,000 SMEs nationwide. We are building a platform that links funding partners with credible micro-lending institutions, creating a sustainable pipeline for financial inclusion,” he added.
He further revealed that COMCIN is engaging development finance institutions and private investors to scale up the funding pool, expressing optimism that a successful pilot phase will attract more capital into the sector.
The initiative underscores ongoing efforts to empower small businesses, enhance the capacity of micro-lending institutions, and drive inclusive economic growth across Nigeria.
