NIRSAL Microfinance Bank, owned by the Federal Government, has taken action against small and medium enterprises, as well as individuals who have failed to repay the N544.2 billion COVID-19 Targeted Credit Facility (TCF). These defaulting borrowers are now under close scrutiny.

In accordance with NIRSAL Microfinance Bank's actions, they have activated the Global Standing Instruction (GSI) and shared the details of these defaulters on the Central Bank of Nigeria's (CBN) Credit Risk Management System (CRMS). This measure is aimed at preventing these debtors from accessing credit facilities not only in Nigeria but anywhere in the world.

It's worth noting that out of the N1.1 trillion initially facilitated by the former CBN management, led by Godwin Emefiele, slightly over N546 billion has been repaid. To address the issue of defaulters, NIRSAL Microfinance Bank has uploaded the beneficiary information, including names and Bank Verification Numbers (BVNs), onto the CBN's CRMS platform.

Halimatu Lawal, Head of Corporate Communications at NIRSAL Microfinance Bank, explained that some beneficiaries who have left the country are now facing difficulties in accessing credit from their banks due to their inclusion in the CRMS as debtors to NIRSAL Microfinance Bank. Some of these borrowers are actively working to settle their loans.

Lawal also mentioned that borrowers who have already repaid their loans are requesting letters confirming their debt-free status and the removal of their names from the platform.

Regarding the GSI, Lawal clarified that it won't affect accounts of borrowers who are making timely payments or those who have fully repaid their loans. NIRSAL Microfinance Bank intends to continue pursuing the recovery of these loans using all available means, including the GSI, as the COVID-19 Targeted Credit Facility is a loan and not a grant. They will only halt their efforts if instructed by the government.

Lawal emphasized that NIRSAL Microfinance Bank operates as a private business concern, similar to a commercial bank, and is committed to recovering the loans owed to it by borrowers.