In a move aimed at easing the financial strain caused by rising energy and transportation costs, three federal government bodies—Ministry of Finance Incorporated (MOFI), Nigerian Consumer Credit Corporation (Credicorp), and the Presidential Initiative on Compressed Natural Gas (PI-CNG)—have unveiled a N10 billion Credit Access for Light and Mobility (CALM) Fund. This scheme will provide Nigerians with affordable loans for CNG vehicle conversion and solar energy adoption.

The CALM Fund is designed to help Nigerians afford compressed natural gas (CNG) conversion kits and other energy-efficient solutions, thereby promoting sustainability while easing the high costs associated with energy and transportation.
Addressing Rising Transportation Costs
Speaking at the MoU signing in Abuja, Dr. Armstrong Takang, CEO of MOFI, highlighted the impact of petrol subsidy removal on transportation costs. “These reforms are necessary, but they have unintended consequences,” he said. “The cost of transportation has spiked, and many families are struggling to manage. The government’s goal is to provide affordable alternatives like CNG and solar energy solutions to ease this burden.”
Dr. Takang emphasized that CNG conversion and the upfront cost of solar equipment are capital-intensive, making financing a challenge for many Nigerians.
Presidential Initiative on CNG
Michael Oluwagbemi, CEO of the PI-CNG, emphasized that providing Nigerians with affordable, cleaner, and safer transportation options is a priority for President Bola Tinubu. The initiative aims to encourage domestic manufacturing of CNG kits while driving wider adoption of compressed natural gas as an alternative energy source.
“CNG is safer and more reliable than petrol or diesel,” Oluwagbemi explained, adding that CNG vehicles are significantly less explosive in accidents compared to petrol-powered ones.
Credicorp’s Role in the Scheme
Credicorp CEO, Uzoma Nwagba, explained that the government’s ongoing reforms aim to address systemic challenges in Nigeria’s energy and transportation sectors. Credicorp will manage the CALM Fund, facilitating loans through Participating Financial Institutions (PFIs) and seeding the fund with an initial N2.5 billion. This initiative allows Nigerians to access consumer credit for CNG conversion kits and solar energy systems without the financial burden of upfront payments.
“Our goal is to offer flexible financing options, helping Nigerians to convert their vehicles to CNG and adopt solar energy solutions, ultimately reducing dependency on expensive fuels and cutting electricity bills,” Nwagba said.
Pathway to Sustainable Energy
As the economic landscape continues to shift with rising petrol prices, the CALM Fund is expected to offer a viable alternative by providing Nigerians with access to CNG conversion loans and solar energy solutions. Beneficiaries of the fund will enjoy discounted interest rates, up to 15-20% lower than what is currently offered by financial institutions.
MOFI will act as the fund’s aggregator, working with private and institutional investors to grow the N10 billion initial fund. Meanwhile, Credicorp will manage the disbursement of loans, ensuring that Nigerians can easily access credit for sustainable energy projects.
For more information, Nigerians are encouraged to apply for CALM Fund loans through participating financial institutions via www.credicorp.ng/apply.
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