Nigeria: NCR Urges Banks to Accept Movable Assets for Loans
The National Collateral Registry (NCR) has appealed to commercial banks in the country to accept movable assets as collateral to increase the quantum of borrowing to small businesses.
Its Registrar, Mohammed Mainasara, made the call in an interview with the News Agency of Nigeria (NAN) at the 27th Seminar for Finance Correspondents and Business Editors in Gombe from April 24 to April 26, 2019.
At the seminar with the theme: Repositioning Micro-Finance Banks for Real Sector Growth, Mainasara said with the introduction of the NCR, small businesses should now be able to access credits at reasonable rates.
"It is expected that the Registry and credit reporting will motivate banks to accept moveable assets as collateral. It is also expected that the Registry will reduce bank default rate, boost production and create employment.
"It will also cut down the cost of verifying borrowers by 35 per cent, therefore reducing the cost of credit and non-performing loans," he said.
Source: All Africa