The Lagos State Government, through the Ministry of Home Affairs, on Friday organised a Stakeholders’ Forum on the need to examine the laws guiding the activities of money lenders in the State.
The Honourable Commissioner for Home Affairs, Prince Anofiu Elegushi, in his address during the event held at NECA House, CBD Ikeja, stated that the forum was organised to intimate the stakeholders on the proposed laws regulating money lenders’ activities in order to repose confidence in the industry as well as deliberate on the proposed regulations and find a mutually beneficial ground. 
He said, “As regulators, we cannot be a judge in our own case; this is why we have called on all of you practitioners and would-be practitioners to look at the laws guiding our activities, discuss and agree on grey areas as they affect both the Regulators and Practitioners in the State”.
The Commissioner also noted that some of the laws guiding the operations of money lending require a total overhaul while others have become obsolete and archaic, hence the need to have a new law and regulations that will have a friendly approach to the Government, Practitioners and the beneficiaries who constitute the larger society.
Elegushi urged the stakeholders to make inputs and suggestions that will help in the formulation of policies and laws, as the Ministry approaches the State House of Assembly for a more robust and encompassing amendment to the laws on money lending.
He reiterated the support of the present administration to create an enabling environment for easy loan accessibility with an emphasis on pragmatic strategies for achieving positive and cost-effective results in grassroots financing to invariably help in achieving the ‘Making Lagos a 21st Century Economy’ pillar of the T.H.E.M.E.S Agenda.
The Commissioner expressed hope that the lessons derivable from the interaction will rub off on the sector, bearing in mind that the small and medium enterprises are the key promoters of economic growth, and the key component for their success is the availability of finance at little or no interest rate for their operations.
The Permanent Secretary, Ministry of Home Affairs, Mrs. Adebunmi Adekanye, in her welcome address, stated that the meeting was important and timely as matters relating to finance cannot be taken with levity.
“This forum is aimed at providing a robust and fulfilled deliberation on the review of the law, and other allied matters that will be of great benefit to the regulations, operations and also the borrowers, so as to protect the interest of all stakeholders in the industry”, Adekanye said.
Taking the participants through an overview of money lenders’ activities in Lagos State, the Director of Home Affairs in the Ministry, Mrs. Olubunmi Fatinikun, noted that the vision of Lagos State to become Africa’s Model Mega City and Global, Economic and Financial hub hinges upon Public-Private Partnership (PPP), Rule of Law, Transparency and Accountability, Good Governance and participatory planning, among others.
She stated that the strenuous processes associated with commercial and microfinance banks in terms of borrowing clearly necessitated the need for financial intermediation and assistance.
The Director noted that successive administrations had saddled the Ministry with the responsibility of issuing money lender’s licence to applicants in addition to the drafting of new laws to regulate, monitor, supervise, enforce and license money lenders’ activities and other connected matters in the State.
Fatinikun opined that most times, there had been issues of some dubious operators who have gone to the extent of scamming unsuspecting borrowers, leveraging on lack of instruments from appropriate authorities to escape the long arm of the law.
She, therefore, enjoined all money lenders operating in Lagos to obtain a valid operating licence from the Ministry for smooth and legal operation of their businesses while advising borrowers to only patronise licensed money lenders.
Dignitaries present at the event include the Chairman, House Committee on Home Affairs, Mr. David Setonji, other House of Assembly Members, Chief Executives of Money Lenders organisations, financial institutions and officials from the Lagos State Ministry of Justice, among other dignitaries.
