By Anita Dennis
The federal government has introduced a USSD-based consumer credit service to expand access to affordable loans for Nigerians, particularly low-income earners and first-time borrowers without smartphones, internet connectivity or established credit histories.
The service, known as SPARK, was introduced by the Nigerian Consumer Credit Corporation (CREDICORP) to enable eligible Nigerians to finance essential household goods, productive assets and services through basic mobile phones.
The platform, accessible through the USSD code *347*333#, is expected to become widely available before the end of 2026. It is designed to extend consumer financing to underserved populations while stimulating demand for locally manufactured goods and supporting domestic enterprises.
Mr. Uzoma Nwagba , Managing Director/ Chief Executive Officer of CREDICORP, announced the pilot launch at the corporation’s inaugural CREDICORP for All event in Aba, Abia State.
According to the corporation, 353,561 Nigerians had accessed credit through its programmes as of October 31, with more than N61.40 billion disbursed.
Nwagba said the initiative was designed to help working Nigerians improve their living standards without having to pay the full cost of essential purchases upfront.
“Mr President’s vision for consumer credit is simple: every working Nigerian should be able to improve their quality of life today and pay over time, while also empowering local enterprise via higher purchasing power,” he said.
He identified mobility, solar energy, digital devices, household improvements and essential goods as some of the areas benefiting from consumer financing.
Beyond SPARK, CREDICORP is expanding credit access through programmes targeting specific economic groups. Its Securing Consumer Access for Local Enterprises (S.C.A.L.E.) initiative provides transport operators with credit to acquire locally assembled tricycles, while YouthCred supports National Youth Service Corps members, employed young Nigerians and young entrepreneurs.
The corporation is also extending financing to market women and traders seeking funds to purchase business inventory.
At the Aba event, Nwagba disclosed that more than 1,800 residents accessed vehicles, trade inventory, digital devices and essential goods through participating financial institutions.
He also said that the corporation’s programmes were active across all 36 states and the Federal Capital Territory, with 36 financial institutions supported to expand consumer lending.
However, wider access to consumer credit also raises questions about affordability, repayment capacity and responsible lending, particularly among borrowers with limited credit experience.
CREDICORP clarified that SPARK is a loan facility, not a grant. Borrowers must therefore repay according to agreed lending terms. The corporation also reported zero non-performing loans across its wholesale lending portfolio.
While the USSD platform could reduce technological barriers to financial inclusion, its broader economic impact will depend on transparent lending conditions, appropriate interest rates and borrowers’ capacity to sustain repayments.
Ultimately, the initiative’s success will be measured not simply by the volume of loans disbursed, but by whether consumer financing improves household welfare, strengthens small businesses and generates sustainable demand for locally produced goods.
