The Federal Government of Nigeria has introduced a new consumer credit service, SPARK, through the Nigerian Consumer Credit Corporation (CREDICORP). This service allows Nigerians to access loans by dialling a simple USSD code, *347*333#, on their mobile phones, without the need for a smartphone or internet connection. The service aims to provide an entry-level consumer credit product, particularly for first-time borrowers and those with little or no formal credit history.
The SPARK service is designed to help Nigerians build formal credit history through responsible borrowing and timely repayment. Beneficiaries can begin building credit records that may improve their chances of accessing other financial services in the future. To access the service, interested applicants can dial the USSD code and follow the available instructions. However, the platform is still being rolled out, and nationwide availability has not been confirmed.
CREDICORP has not publicly disclosed the specific lending terms of SPARK, including the maximum and minimum loan amounts, interest rates, repayment periods, and eligibility requirements. The corporation has described SPARK as an entry-level consumer credit product but has not published enough information to establish the exact cost of borrowing. Applicants will still have to satisfy the programme's lending requirements, and dialling the code does not guarantee loan approval.
The SPARK loan service is not a government grant, and successful borrowers must repay the money under the agreed conditions. Some Nigerians who attempted to access the service shortly after its announcement reported difficulties, including messages indicating that the service was unavailable. CREDICORP expects wider availability before the end of 2026.
The introduction of SPARK is an effort to expand access to formal loans, particularly for people who have never borrowed from banks or other financial institutions. The service uses USSD technology, which allows applicants to access the service without downloading an application or purchasing mobile data. This move is expected to increase financial inclusion and provide more opportunities for Nigerians to access credit.
The Nigerian Consumer Credit Corporation (CREDICORP) is responsible for the implementation of SPARK. The corporation aims to provide a platform for Nigerians to access credit without the need for collateral or a lengthy application process. The service is expected to be particularly beneficial for first-time borrowers and those with little or no formal credit history.
As the service continues to roll out, more information on the lending terms and eligibility requirements is expected to be released. Nigerians who are interested in accessing the service can dial the USSD code to check their eligibility and apply for a loan. The service has the potential to increase access to credit for many Nigerians and provide a boost to the country's financial inclusion efforts.
Key points
- The SPARK service allows Nigerians to access Federal Government-backed loans via a simple USSD code, *347*333#.
- The service is designed for first-time borrowers and those with little or no formal credit history.
- The lending terms, including loan amounts, interest rates, and repayment periods, have not been publicly confirmed by CREDICORP.
