Nord Automobil Launches 9% Car Loan Scheme in Nigeria

Nord Automobil, led by Chairman and Chief Executive Officer Mr. Oluwatobi Ajayi, has introduced a vehicle financing scheme in Nigeria that offers loans at a low interest rate of 9% for brand-new cars.

This initiative, unveiled in Lagos on Tuesday, is designed to facilitate vehicle ownership for individuals and businesses while providing flexible repayment options over a tenure of 48 months. The scheme aims to shift the long-standing reliance on imported vehicles, commonly known as "tokunbo," which are often costly to maintain and potentially unsafe.

Ajayi emphasized the importance of improving access to reliable vehicles and addressing safety standards. The financing package is expected to convert a portion of the tokunbo market into demand for locally assembled vehicles, with Nigeria's annual vehicle demand estimated at 500,000.

Currently, only about 14,000 to 20,000 brand-new vehicles are sold annually. The company aims to meet the rising demand with vehicles specifically designed for Nigerian driving conditions.