News
Cash Crisis Fuels Loan App Nightmare in Nigeria
Cash-strapped and in dire need of N30,000 (about $20), Mariam Ogundairo turned to a loan app, downloading it and registering her phone number.
The money was quickly sent over but came with a 21.6 percent interest rate, due in two weeks.
Like many in Nigeria, battered by inflation, Ogundairo was too broke to pay back what she owed.
Then came a deluge of harassment — a tactic that has become the hallmark of many loan apps in Africa’s fourth-largest economy.
“They started calling my phone contacts when I couldn’t pay back on time, saying I owed them. “I lost my security, and it makes me so sad and scared,” Ogundairo told AFP.
Such loan apps in Nigeria, branded “predatory” by campaigners, are texting threats and leaking sensitive photos to their mobile phone contacts when people squeezed by the country’s ongoing economic crisis cannot pay up.
Often enticed by false promises of low interest rates, thousands of Nigerians have turned to personal finance apps seeking quick access to short-term loans as galloping prices put pressure on incomes, with inflation standing at 21.8 percent at the end of July.
Ogundairo struggled through the embarrassment for weeks until she was able to pay off her balance.
– ‘Quick fix’ gone wrong –
“A friend recommended it because I needed a quick fix,” another victim, a 24-year-old who took out a loan two years ago as a university student and asked his name not be used, told AFP.
After spending more than N300,000 conducting laboratory investigations for his final thesis and still needing more funds to complete his research and beat submission deadlines, the money seemed like a lifesaver.
He took out N70,000 when he was a final-year student in 2023. He was meant to pay back about N110,000 within a month, but was too broke.
The loan app then began sending messages to his phone contacts that he was a “ritualist killer”. He said he was not aware he had given the app access to his contacts.
“A couple of my coursemates got the messages.
“It wasn’t the case of unwillingness to pay; it was just a case of impossibility,” he told AFP.
An increasing number of Nigerians have turned to personal loans following reforms by President Bola Tinubu to shock the country’s moribund economy and remove costly subsidies.
Though some economists have voiced approval for the measures, Tinubu’s policies have sent inflation skyrocketing and the value of the naira plunging, hitting many ordinary Nigerians in their pockets.
Even when apps mislead people on interest rates, they can often provide better rates than traditional banks — with the benchmark interest rate at 27.5 percent, conventional loans can come with interest rates at 27 to 48 percent.
While there was no breakdown for so-called fintech apps, lenders in the country handed out about 470 billion naira in personal loans in the last quarter of 2024.
By December, outstanding personal loans jumped “by 21.27 percent to 3.82 trillion naira compared with the level at end-September 2024”, the Central Bank of Nigeria (CBN) said in March.
As of the same month, the Federal Competition and Consumer Protection Commission (FCCPC) approved 408 loan apps, up from 269 in September 2024, with 42 receiving conditional clearance.
The CBN approved 23 apps, up from 14 in the third quarter of last year.
Forty-seven were delisted and 88 placed on watchlists for various offences, including harassment.
The watchdog had said in the past that some loan apps were operating in the country illegally.
– Loan sharks ‘thrive’ –
Many of the loan apps’ ease of access and swift processing create a trap, said Funmi Oderinde, a lawyer at Citizens’ Gavel, a civil society organisation that has been pushing back against the lenders.
The organisation has so far received at least 1,300 complaints over “predatory digital loan apps”.
“These promises are deceptive, and borrowers soon face unethical recovery practices such as defamation, harassment, threats, breaches of data privacy, arbitrary fines, and excessively high interest rates aimed at pressuring them into repayment,” Oderinde said.
Some victims of the harassment have formed different support groups on Facebook. One such group has more than 21,000 members.
A victim told Citizens’ Gavel that, after her phone was accessed remotely, a fake obituary and a real nude photo were shared with her contacts by a loan app.
According to Oderinde, two of the people who approached the organisation for legal help “could have died” due to harassment from loan app agents.
The FCCPC, in a note sent to lenders in August, said it would “periodically monitor interest rates for services of consumer lending, and ensure rates are not exploitative”.
But despite regulatory moves, dozens of apps continue to operate under new names, and desperate borrowers often do not check approval lists before applying.
The result is that loan sharks “thrive”, Oderinde said, “because of weak sanctions and poor enforcement”.
AFP
News
Niger Speaker Lauds Army, DSS, and Security Agencies for Successfully Dislodging Bandits in the State
Speaker of the Niger State House of Assembly, Rt. Hon. Abdulmalik Mohammed Sarkin-Daji, has commended the Nigerian Army, the Department of State Services (DSS), and other security agencies for what he described as remarkable successes recorded against bandits in Mariga LGA and parts of the Niger North senatorial district of the state.
The Speaker described the operation as a major breakthrough in the fight against insecurity in the state, noting that the bravery, professionalism, and commitment demonstrated by the security personnel resulted in the death of several bandits, while others were successfully arrested by the security agencies.
The Speaker’s commendation was contained in a statement issued on Sunday by the Assembly’s acting head, Directorate of Media and Public Relations, Mairo Adamu Mani.
The Speaker “stated that this decisive action has greatly weakened the activities of criminal elements in the affected areas and restored confidence among residents who had lived in fear for a long time,” noted the statement.
“Rt. Hon. Abdulmalik Mohammed Sarkin-Daji further praised the tireless efforts of the security agencies, especially special forces and DSS operatives, for their continuous sacrifices in protecting lives and property across Niger State and Nigeria at large.
The statement quoted the Speaker as commending the joint clearance operations by the Army and the DSS, which he said was based on intelligence, and resulted in the rescue of over 70 kidnapped persons in the state.
“He acknowledged the risks involved in such operations and expressed deep appreciation to the officers and men who put their lives on the line to ensure peace, stability, and the safety of citizens, especially in vulnerable communities.
“The Speaker assured the security agencies of the unwavering support and cooperation of the Niger State Government, emphasizing that the state will continue to provide all necessary assistance to strengthen security operations,” further stated the Assembly spokesman.
Niger state government, remarked the statement, “remains fully committed to working closely with all security stakeholders to ensure that the lingering challenges of insecurity are completely addressed and brought to an end.
“The Speaker “also appealed to all Nigerlites to remain calm, vigilant, and law-abiding, assuring them that the government considers the security of lives and property as its topmost priority.
“The Speaker encouraged residents to continue to support security agencies by providing credible and timely information that will aid ongoing and future operations aimed at sustaining peace and stability across the state,” the statement declared.
News
President Tinubu Celebrates Fela Kuti’s Historic Posthumous Grammy.
President Bola Ahmed Tinubu has hailed the posthumous conferment of the Grammy Lifetime Achievement Award on Afrobeat pioneer Fela Anikulapo-Kuti as a landmark recognition of African musical excellence and cultural influence.
In a personally signed statement issued today, the President described the honour bestowed by the Recording Academy during the Special Merit Awards Ceremony in Los Angeles on January 31 as a historic first for an African artist.
“The world of music has honoured a giant: Fela Anikulapo-Kuti,” President Tinubu declared. “Fela was more than a musician. He was a fearless voice of the people, a philosopher of freedom, and a revolutionary force whose music confronted injustice and reshaped the global sound.
“The award, presented alongside other legends including Whitney Houston, Cher, Chaka Khan, Carlos Santana, and Paul Simon, marks the first time an African musician has received this prestigious Lifetime Achievement honour.
Fela’s family, including children Yeni, Kunle, Shalewa, and Femi Kuti, accepted the award on his behalf.President Tinubu emphasized Fela’s enduring legacy, noting that his courage, creativity, and conviction not only defined a generation but continue to inspire artists, activists, and audiences worldwide.
Invoking Yoruba cultural reverence, he added: “In Yoruba mythology, he has transcended to a higher plane as an Orisa. He is now eternal.
“The President highlighted Fela’s creation of Afrobeat a powerful fusion of African rhythms, jazz, funk, and highlife infused with sharp social and political commentary and its profound impact on contemporary music.
“He defined Afrobeat, and you can hear and see his influence in generations of Nigerian musicians, in the global rise of Afrobeats, and far beyond,” Tinubu stated.
He described the Grammy recognition as “an affirmation of his enduring global influence and the foundational role he has played in the evolution and impact of Africa on modern music.”
This latest honour builds on prior accolades, including the 2025 induction of Fela’s seminal 1976 album Zombie into the Grammy Hall of Fame.
Nearly three decades after his death in 1997, Fela’s music and activism remain a symbol of resistance and cultural pride. President Tinubu’s tribute underscores national pride in the icon’s global validation.
News
Tinubu returns to Abuja from Ankara State Visit
President Bola Ahmed Tinubu has returned to Abuja after concluding a successful state visit to Türkiye, where he held high-level talks with President Recep Tayyip Erdoğan and signed multiple bilateral agreements.
The President arrived in Abuja on Saturday evening, January 31, 2026, around 8:30–8:55 p.m. local time, following his departure from Türkiye.
Tinubu departed Abuja on Monday, January 26, 2026, for the state visit to Ankara, Türkiye’s capital.
The trip focused on strengthening Nigeria-Türkiye relations in areas including trade, defense, security, energy, education, media, and technical cooperation.
Key highlights included the signing of nine Memoranda of Understanding (MOUs), aimed at boosting economic ties, defense collaboration (including potential training for Nigerian Special Forces), and a targeted increase in bilateral trade volume. Both leaders described the engagements as ushering in a “new era” of strategic partnership.
The visit drew public attention, including an incident during the official welcome ceremony in Ankara where President Tinubu briefly stumbled but continued without issue, with aides confirming he was in good health.
Upon his return, focus now shifts to implementing the signed agreements, including the activation of joint committees on trade and other sectors.
The Presidency has emphasized the visit’s role in advancing Nigeria’s diplomatic and economic interests on the global stage.
Watch video below:
-
Business2 days agoNigeria’s economy may be back from the brink — The Economist
-
News3 days agoWike begs court to jail striking FCTA Workers
-
Politics2 days agoINEC Recognises Nenadi Usman-Led Caretaker Committee as Authentic Leadership of Labour Party
-
News3 days agoSharia: Indonesian couple caned 140 times for sex and alcohol offences
-
Politics2 days agoAPC extends electronic membership registration to February 8
-
News3 days agoEdo Gov Okpebholo Reshuffles Cabinet
-
International3 days agoSouth Africa kicks out Israel’s ambassador Ariel Seidman
-
News2 days agoFour beheaded in Ebonyi communal clashes
