FG Launches Pension-Backed Loans to Empower Retirees

|By Adejumo Adekunle

The Federal Government has rolled out a pension-backed loan scheme aimed at giving retirees access to affordable credit for healthcare, small businesses, and family needs.

The initiative, introduced through the Nigerian Consumer Credit Corporation (CREDICORP), allows pensioners to secure loans starting from ₦50,000, with higher amounts tied to their pension income.

Managing Director of CREDICORP, Uzoma Nwagba, unveiled the programme on Friday in Abuja under the theme “Empowering Retirement with Consumer Credit.” He said the scheme was designed to end the exclusion of senior citizens from Nigeria’s credit system.

“This first-of-its-kind product ensures retirees can access credit with dignity, without exorbitant rates or complex processes,” Nwagba said. “By leveraging pension income, we are delivering loans that are safe, affordable, and sustainable.”

The programme, developed in partnership with Leadway Trustees, is open to both federal and state pensioners. Nwagba stressed that retirees, after years of service to the nation, deserve financial access to improve their quality of life.

A beneficiary, Chukwuemeka Okeke, a retired civil servant, hailed the programme, saying it has eased his burden of medical expenses. “Medical bills can be overwhelming. With this loan, I can cover my healthcare needs without stress. The process was straightforward, and I feel respected as a retiree,” he said.

The pension-backed loan marks a milestone in Nigeria’s efforts to make consumer credit inclusive and equitable for all citizens.