65,370 Assets Registered in Collateral Registry

Not less than 65,370 moveable assets have been registered at the National Collateral Registry (NCR) as at 20th March 2019.
The registered assets include but not limited to consumer household goods, motorcycle, motor vehicle; jewelry, refrigerator and assorted electronics with financing statement valued of N1. 2 trillion spread across 165,456 depositors.
Also, 630 financial institutions registered on the portal of the newly established NCR during the period under review, NCR National Registrar, Mallam Mainasara Muhammad, confirmed the updates in Abuja at a Forum organised by Finance Correspondents Association of Nigeria( FICAN) which had a theme: ” National collateral registry: Enhancing ease of access to finance “.
A breakdown of number of registered institutions include 21 Deposit Money Banks (DMBs), 552 microfinance banks, 4 merchant banks; 4 Development finance institutions, 34 finance companies, 1 non- interest bank and 14 non- bank financial institutions.
NCR, a Central Bank of Nigeria (CBN) initiative was established by an Act of parliament in 2017, has registered different categories of depositors which include: individuals 157,077, large business 735, medium business 2,279, micro business 3,457 while small business is 1,908 in number.
National collateral registry is a data bank where security interests in moveable assets are registered for the purpose of being used as collateral to obtain facilities from financial institutions.
It allows borrowers to prove their credit worthiness and lenders to assess their priority interest in potential claims against particular collateral.
Mainasara who Stressed the importance of collateral registry as a means of easing access to credit facility by Micro small and Medium Enterprises ( MSMEs) explained that the registry improves both access to finance and induces prompt payment, I.e. provides a win-win situation for the borrower and lender simultaneously.

He said that the CBN in collaboration with International Finance Corporation (IFC) established the NCR to improve access to finance particularly for MSMEs and ultimately reduce the risk associated with MSMEs funding.
The Registry, which operationalizes the Central Bank of Nigeria’s “Regulations on Registration of Security Interests in Movable Property by Banks and other Financial Institutions,” is a web-based system that allows lenders to determine any prior security interests, as well as to register security interests over movable assets provided as collateral.
“The benefits of the collateral registry include enabling businesses to leverage their assets to obtain credit for growth, improve assets liquidity especially short-term assets, and allow asset diversification as well as to reduce cost and promote prudent lending,” said Mainasara Muhammad, the Registrar of the National Collateral Registry