Acting President, Yemi Osibanjo signs new laws that allow the use of motor vehicles and other movable assets as collateral for bank loan
Acting President Yemi Osinbajo has signed two new laws that will facilitate access to more affordable credit facilities for businesses in the country. The new Acts are the Secured Transactions in Movable Assets Act, 2017 (otherwise known as Collateral Registry Act) and the Credit Reporting Act, 2017.
“The passage of these Acts would facilitate the achievement of the goals of the Presidential Enabling Business Environment Council (PEBEC) set up by President Muhammadu Buhari in July 2016 and chaired by the Vice-President to progressively make Nigeria an easier place for businesses to start and thrive. “
The bills which have now become ‘Acts’ are the Secured Transactions in Movable Assets Act, 2017 (otherwise known as Collateral Registry Act) and the Credit Reporting Act, 2017.
‘The Collateral Registry Act’ ensures that Micro, Small and Medium Enterprises (MSMEs) in Nigeria can register their movable assets such as motor vehicles, equipment and accounts receivable in the National Collateral Registry, and use same as collateral for accessing loans. This in turn will increase their chances at accessing financing and tackle one of the major obstacles faced by MSMEs.
On the other hand, ‘The Credit Reporting Act’ provides for credit information sharing between Credit Bureaus and lenders (such as banks), as well as other institutions that provide services on credit such as telecommunication companies and retailers.
(A Credit Bureau is defined as a company that collects information relating to the credit ratings of individuals and makes it available to financial institutions, who need such information to determine an individual’s credit-worthiness and whether or not to grant loan applications to such individuals.)
Access to credit is critical to economic growth and is considered to be the motor for driving private sector development. However, in Nigeria more than 70 per cent of private enterprises, typically MSMEs, have limited or no access to credit. Credit applications get rejected due to insufficient credit history and information for the lender to use to make a reasonable judgement, as well as unacceptable collateral. The two new Acts remove those obstacles for MSMEs.
Traditionally, banks only give loans to businesses that can provide fixed land and property as collateral. This shuts out MSMEs which usually own only movable assets like motor vehicles and equipment. The Collateral Registry Bill, 2017, will give confidence to lenders to utilise the Registry and thereby make credit available to MSMEs and individuals through the use of their movable assets as collateral.
The Credit Reporting Act now enables lenders to make reasonable judgement on whether or not to extend credit to an individual, and reduces the cases of bad loans.
On February 21, 2017, the leadership of the National Assembly publicly committed to passing the two bills as part of the 60-Day National Action Plan for Ease of Doing Business initiated by the Presidential Enabling Business Environment Council (PEBEC). That promise was kept by the National Assembly last week with the bills forwarded to the Acting President for assent.
With the passage of these Acts, the existing Central Bank of Nigeria (CBN) Guidelines regulating the operations of the National Collateral Registry and Credit Bureaux have now been replaced by formal legal frameworks.
The passage of these Acts would facilitate the achievement of the goals of the Presidential Enabling Business Environment Council (PEBEC) set up by President Muhammadu Buhari in July 2016 and chaired by the Vice-President to progressively make Nigeria an easier place for businesses to start and thrive.
“I Killed Him And Used His Blood To Make Money Rituals (Oshole) for Yahoo Boys” – 22-year Old Ritual Killer Confesses
A 22 year old suspected ritual killer, Idowu Talabi from Ikenne-Remo has been arrested by the Ogun State police command for killing a tenant, Tobi Yisua, who lives in his maternal grandfather’s house.
During interrogation by a reporter of Alaroye, a dedicated Yoruba news platform, Idowu Talabi confessed to committing the crime.
He said, “he (Tobi Yisua) is a lotto operator (Baba Ijebu). Whenever he keeps money at home and they steal the money, he will accuse me of stealing his money.
One day, he was sleeping on the bed in his room, he did not lock the door, he only locked the net outside. When I wanted to enter, I used knife to cut the net and I unlocked it.
When I entered his room, I saw him sleeping naked on the bed lying face down and I landed the cutlass I was holding at the back this neck. When I saw that he was trying make noise, I used pillow to cover his mouth and used the cutlass on him again.
After killing him, I took part of his blood and mixed it to prepare “Osole”, money ritual charm. I made the charm to sell it to customers who will be interested in it, I did not do it for myself.”
Asked how he knew how to make the charm? He said he saw it in his father’s account.
On how he was exposed? he said, “the second day, when the wife of the deceased came from church, she found the dead body of her husband on the bed. She then came to me in the backyard, locked my shirt and accused me of killing her husband. When I got to the police station, I confessed to the police that I was the one that killed her husband.”
Politics Of Bitterness and PDP’s Deadly Plots Against Me, APC MUST Stop Nown – Chief Nelson Agbamuche
The Peoples Democratic Party (PDP), and its operatives in Akwukwu-Igbo in Delta State, led by Kelvin Onuwa Anyakwu and Victor Nzediegwu have been doing everything possible to harm me, my family and political associates.
There have been series of attacks on my properties and plots to eliminate me, leading to some unfortunate attacks on my supporters.
The reason for the acrimony is due to the fact that I choose to identify with a progressive party, the All Progressives Congress (APC) which has brought and still bringing development to my community.
As a traditional title holder whose allegiance is to my people, I thought it wise to join the APC having spent years in the PDP without any noticeable benefit to my people, but my former party chieftains won’t recognise my fundamental human rights of freedom o association guaranteed in our constitution and the African charter.
Consequently, they have resorted to attacks and threats to my life, destruction of my properties using thugs and local vigilantes to hound me and my associates.
I have already petitioned the Inspector General of Police on this matter, having lodged formal complaints at the state level with no visible action taken.
As if that was not enough, they also resorted to political intolerance against myself and members of the All Progressives Congress.
This was brought to bare on Saturday when the PDP unleashed an unprecedented level of violence against APC faithfuls during the Local Government elections that our party was clearly winning.
After noticing that APC had won most of the units in the election, thugs led by Ikechukwu Joseph Iwegbu, known as Presidential General, invaded the units fully armed at the point of counting to disrupt the exercise. They carted away all the ballot boxes and shot at us recklessly, many of our people sustained various degree of injuries.
The Police in our community witnessed the incidents, they can attest to the brazen attacks.
No result was announced anywhere in Akwukwu-Igbo ward. Of course APC clearly won five out of the seven polling units in the ward. If they are in doubt, let us repeat the election, APC will still win.
After the violent attack on Saturday, they used the instruments of the state to move against us, arresting our people who are APC members. This is one oppression taken too far.
They kept saying they don’t want APC, that Delta state is a PDP state yet all the development we have today in Akwukwu Igbo were brought by the APC government.
New transformers came about 6 months ago, Rural electrification is near completion, soon to be commissioned.
Renovation of our primary schools with perimeter fencing. We have the Agbogidi primary school, Atuma Primary school etc.
Road projects are equally ongoing.
Akwukwu-Illa road project alone is about 4km, you also have Engr. Sunday Gbamdi road and others.
Why are we not going to join a party that has brought development to our communities?
Since we joined APC, they have been Using hoodlums and local vigilantes to unleash terror on us. We have reported to different authorities, yet the thugs are becoming more brazen. They boast openly that no one can arrest them because they are backed by powers from above.
Since they have openly sworn to use everything to fight APC out of the state and we, on our part, are equally resolute in our journey to bring development to our people through the APC led Federal Government, I use this medium to call on all security agencies and well meaning Nigerians to take urgent steps with a view to safeguarding my life and properties in Akwukwu-Igbo and the state in general, as well as calling all the aforementioned individuals and their enablers to order.
Chief Nelson Agbamuche
Odoziani of Akwukwu-Igbo
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