Mutual Benefits decries Nigeria’s credit gap, offers solutions
Mutual Benefits Assurance Calls for Increased Access to Credit in Nigeria
By Rosemary Iwunze
Mutual Benefits Assurance Plc has highlighted a significant credit access gap in Nigeria, where only about six percent of adults currently utilize formal financial institutions for borrowing. The company expressed concern over this situation, emphasizing that greater access to credit is crucial for economic growth.
Femi Asenuga, Managing Director of Mutual Benefits Assurance, noted that while access to credit is vital, the implementation of financial protection mechanisms is equally important. These tools help individuals and businesses manage economic shocks.
“Through our diverse portfolio of solutions, Mutual Benefits continues to provide Nigerians with tools to build, preserve, and protect wealth,” Asenuga said. He detailed the company’s offerings, which include education-focused protection plans, life assurance products, savings-oriented solutions, motor and property insurance, and business protection products designed to secure livelihoods and future aspirations.
Asenuga further stressed that discussions about financial inclusion should extend beyond merely facilitating bank account openings and loan access. “True financial empowerment is attained when individuals and businesses can access financing opportunities along with protections for their income, assets, families, and future goals against unforeseen risks,” he explained.
He pointed out that a single unexpected event—such as a medical emergency, fire incident, business disruption, or loss of income—can jeopardize years of financial stability for many Nigerian families and business owners. This underscores the importance of insurance and disciplined savings as critical components of long-term financial resilience.
In support of advancing financial inclusion, Mutual Microfinance Bank is actively offering accessible financing solutions tailored to small businesses, traders, salary earners, entrepreneurs, and emerging enterprises throughout Nigeria. By December 31, 2025, the bank had disbursed loans totaling 1.372 billion Naira, enhancing access to formal credit for its targeted segments. This upward trend persisted into 2026, with the loan portfolio increasing to 1.558 billion Naira by the end of the first quarter, reflecting a continued commitment to bolstering productive economic activity.
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