Sanwo-Olu Urges Responsible Credit Practices to Drive Business Growth, Economic Development

Sanwo-Olu Urges Responsible Credit Practices to Drive Business Growth, Economic Development
Sanwo-Olu praised NICA for its role in strengthening credit management and securing legal recognition for the profession
Prof. Chris Onalo urged graduating MCMAIP students to uphold professionalism

The Lagos State Governor, Mr. Babajide Sanwo-Olu, has stressed the importance of responsible credit practices and robust regulatory systems as critical drivers of business growth and sustainable economic development in Nigeria, Eko Hot Blog reports.

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Speaking at the 2025 National Credit Managers Conference, organised by the National Institute of Credit Administration (NICA) in Lagos, the governor, represented by the Permanent Secretary of the Debt Management Office, Mrs. Alake Sanusi, emphasised that proper credit management is essential for households and businesses alike.

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“Credit is essential to every business and household. When credit flows properly, shops stay stocked, factories operate, farmers cultivate, and entrepreneurs expand. But, when credit is mismanaged, when loans fail, rules are unclear, or when lenders and borrowers lack protection, everyone suffers,” he said.

Sanwo-Olu praised NICA for its role in strengthening credit management and securing legal recognition for the profession, noting that the conference theme on credit policy and regulation was timely for Nigeria’s economic progress.

Sanwo-Olu Urges Responsible Credit Practices to Drive Business Growth, Economic Development

Highlighting the role of regulators like the Central Bank of Nigeria (CBN), he pointed out the importance of prudential guidelines and consumer protection standards that require institutions to maintain strong credit policies, proper loan classifications, and fair treatment of customers.

“Responsible credit goes beyond availability; it must be backed by transparent risk assessment, ethical practices, and policies that protect both lenders and borrowers. Strong consumer protection provisions build confidence and prevent exploitation of vulnerable borrowers,” the governor added.

Sanwo-Olu also stressed the importance of accurate and reliable credit information, noting that credit bureaus and reporting systems help reward good borrowers, price risks appropriately, and enable lenders to extend credit at lower costs. He highlighted ongoing reforms such as collateral registry improvements and sector recapitalisation as examples of efforts to strengthen the credit ecosystem.

Guest speaker Prof. Abiodun Adedipe echoed the governor’s sentiments, underscoring the need for credit to be available, accessible, and affordable. He said reforms in collateral and credit guarantee systems are helping expand financial inclusion and build a strong credit culture, which will be pivotal to Nigeria achieving its goal of a $1 trillion economy within five years.

Earlier, NICA Registrar/CEO Prof. Chris Onalo urged graduating MCMAIP students to uphold professionalism, noting that credit management is the backbone of a strong economy. “It supports access to finance, helps businesses stay afloat, and expands financial inclusion,” he said.

The conference concluded with participants agreeing that responsible lending, fair reward mechanisms, and strong protection frameworks are essential to building a resilient financial system.