United Bank for Africa (UBA) Plc and Mikano Motors have unveiled a new vehicle financing partnership aimed at helping more Nigerians own new cars without bearing the full cost upfront.
Under the initiative, tagged “Drive Your Dream Today,” eligible customers are required to make a 30 per cent initial payment, while UBA finances the remaining 70 per cent of the vehicle purchase.
The scheme, launched at the Mikano Motors showroom in Victoria Island, Lagos, allows customers to spread repayment of the financed amount over 36 months at an interest rate of 23 per cent.
The financing arrangement is available not only to salaried workers but also to self-employed Nigerians, entrepreneurs and other customers who meet the bank’s eligibility requirements.
The initiative is expected to address one of the major barriers to new vehicle ownership in Nigeria, where the rising cost of vehicles has made outright purchases increasingly difficult for many households and business owners.
To commence the process, prospective customers are required to confirm their eligibility by visiting a UBA branch or contacting the bank through [email protected].
Once their application is approved, customers can obtain a proforma invoice from Mikano Motors for their preferred vehicle and proceed with the financing arrangements.
Speaking at the launch, UBA’s Group Executive Director-designate, Personal and Business Banking, Chidi Okpala, said the partnership was designed to translate the bank’s customer-focused approach into a practical financing solution.
According to him, the arrangement removes a significant financial hurdle for customers who may otherwise struggle to raise the full purchase price of a vehicle.
“Owning a car should not be out of reach for hardworking Nigerians, and this partnership makes it far more achievable,” Okpala said.
He explained that customers would provide 30 per cent of the cost while UBA would finance the balance, with repayment spread over three years.
Okpala said the initiative was also part of efforts to deepen credit access and encourage a stronger borrowing culture among Nigerians.
“By removing the single biggest barrier to vehicle ownership where a customer just commits with an upfront cost, we are showing what customer-first banking looks like in practice,” he said.
He added that the bank’s objective was to make financial services more responsive to customers’ needs and enable them to achieve important personal and business goals.
UBA’s Group Head, Consumer Lending, Frank Okoh, said the bank deliberately designed the scheme to accommodate customers with different income structures.
“We have kept the entry simple and the terms clear, whether you earn a salary or run your own business,” Okoh said.
He said prospective customers could begin the process through a straightforward eligibility check at any UBA branch or via email.
“Our team guides the customer through every step to the moment they collect their keys,” he added.
The partnership also provides Mikano Motors with an opportunity to broaden its customer base by making its vehicles accessible to Nigerians who may prefer structured payment arrangements to outright purchases.
The company’s General Manager, Tarek Mostafa, said the collaboration with UBA complemented Mikano Motors’ focus on delivering a premium vehicle ownership experience.
“Mikano Motors was established to give Nigerians a high-end ownership experience, from the showroom to years down the road,” Mostafa said.
He noted that the company’s relationship with customers extended beyond the initial purchase, stressing the importance of after-sales support in the automotive industry.
“The backbone of any automotive business is not just the sale, but the after-sales service that follows,” he said.
Mostafa said Mikano Motors backs its vehicles with genuine spare parts, maintenance and servicing, adding that its support services are available to customers across the country.
“Every vehicle we sell is backed by genuine spare parts, reliable maintenance and quality service available anywhere in the country. Wherever you are, we would come and meet you at no extra cost,” he said.
He added that the partnership with UBA would enable a larger number of Nigerians to access the company’s vehicles while strengthening its long-term relationship with customers.
“Partnering with UBA lets more customers enjoy that experience, and we are proud to build lasting relationships alongside a bank that shares our commitment to service,” Mostafa said.
Mikano Motors was established in 2018 under Mikano International, building on the group’s more than three decades of operations in Nigeria. The company provides vehicle sales as well as after-sales services and support.
For UBA, the partnership forms part of its broader consumer lending strategy aimed at expanding access to credit for significant personal and lifestyle purchases.
The bank said the initiative reflects its commitment to providing financing solutions that are accessible, convenient and structured around the needs of its customers.
UBA currently operates across 20 African countries, the United Kingdom, the United States, France and the United Arab Emirates, providing retail, commercial and institutional banking services.
Leave a Reply