Nord Automobiles Raises Capital to Fund Affordable Car Loans for Nigerians
Nigerian indigenous automaker Nord Automobiles has launched Nord Finance, a dedicated vehicle financing subsidiary backed by a commercial bank partnership, marking a significant capital venture into Nigeria’s underdeveloped new-car market.
The financing arrangement is being executed through Nord Finance Limited, a subsidiary of Nord Automobiles, in partnership with a commercial bank. The structure signals a deliberate investment play channelling institutional capital into closing the wide gap between Nigeria’s vehicle demand and actual new-car sales.
Turning a Market Gap Into a Business Opportunity
Of Nigeria’s estimated annual vehicle demand of 500,000 units, only between 14,000 and 20,000 are brand-new purchases, with the overwhelming majority made up of imported used cars.or Nord, that gap is not just a statistic it is the business case behind Nord Finance vehicle ownership in Nigeria.
The initiative offers auto loans from as low as nine per cent interest with repayment tenures of up to 48 months, making it one of the most competitive single-digit financing structures in the Nigerian auto sector today.
Chairman and CEO Oluwatobi Ajayi framed the venture in clear commercial terms. He said that if Nord Finance moves just five per cent of the Tokunbo market into the new-car segment, it would represent a major shift and a substantial revenue opportunity for the company.
Prospective buyers can access funding for any of Nord’s 11 passenger and commercial vehicle models, as well as four electric vehicle models under its Tavet brand, broadening the scope of the capital deployment across multiple vehicle categories.
Nord Finance vehicle ownership in Nigeria is now the company’s sharpest tool for scaling demand and growing market share. Nord assembles its vehicles in Epe and at the University of Lagos, positioning itself to meet rising demand as the financing scheme draws in new buyers.
