NOGALSS National Apex Cooperative Society Ltd. and the Amalgamated Union of Motor Mechanics and Technicians of Nigeria (AUOMMATON) have partnered to provide affordable financing for more than 14 million mechanics and technicians nationwide.
The partnership, under the National Automotive Empowerment Drive, also aims to provide modern equipment and technical training, modernise workshops, strengthen businesses, promote financial inclusion and advance technological skills in Nigeria’s automotive sector.
Speaking at the signing of a Memorandum of Understanding (MoU) on Monday in Abuja, Mr Abdulkadir Bashir, Director at the Federal Department of Cooperatives, said the initiative would help formalise the informal automotive sector and improve mechanics’ access to government interventions and cooperative financial services.
Bashir was represented by Mr Bunde Ongo, Director II at the Federal Department of Cooperatives.
“The partnership will enable automotive technicians to access cooperative financial services and acquire the equipment needed to improve their businesses and professional standards.”
“Mechanics can also benefit from housing, pension, insurance and healthcare schemes through cooperative arrangements that promote their welfare and long-term economic security.
“The initiative will help formalise the informal automotive sector and improve mechanics’ access to government interventions, economic opportunities and cooperative financial services,” Bashir said.
He said mechanics across the 36 states and the Federal Capital Territory (FCT) would be encouraged to access single-digit interest loans and acquire modern tools and workshop equipment.
He said the initiative would also promote training in Compressed Natural Gas (CNG) conversion, electric vehicles and other emerging technologies, while cooperative purchasing arrangements would help address the challenge of counterfeit spare parts.
Charles Odii, Director-General of the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), said collaboration was critical to improving productivity, profitability and competitiveness among automotive businesses.
Odii, represented by Prof. Yinka Fisher, an official of SMEDAN, noted that the transition to CNG-powered vehicles, electric vehicles and automated systems required continuous capacity development to ensure mechanics were not left behind.
“SMEDAN recognises the importance of partnerships in connecting micro, small and medium enterprises with the resources and opportunities required for sustainable growth.”
“Mechanics must recognise the economic value of their skills and develop sustainable enterprises capable of competing in an increasingly technology-driven automotive industry.
“The transition to CNG-powered vehicles, electric vehicles and automated systems requires continuous capacity development to ensure mechanics are not left behind,” Odii said.
He stressed that signing an agreement alone would not guarantee success, adding that effective implementation was necessary to translate the partnership into measurable benefits for automotive businesses.
Earlier, Dr Yemisi Bankole, Chief Operating Officer of NOGALSS Apex Cooperative, said the partnership would connect automotive workers with financing, markets, technology, training and strategic business relationships.
“Our cooperative is designed to bring individuals, businesses, associations and skilled workers together to access resources that promote sustainable wealth creation.
“The collaboration will leverage AUOMMATON’s membership network to facilitate financing for tools, equipment, workshop modernisation and business development.
“We are calling on financial institutions, government agencies, suppliers and investors to support this initiative and expand economic opportunities for automotive workers,” Bankole said.
She said the collaboration would facilitate financing for tools, equipment, workshop modernisation and business development, urging financial institutions, government agencies, suppliers and investors to support the initiative.
Mr Kingsley Kpenosen, Chief Investment and Strategy Officer of NOGALSS Apex Cooperative, said the partnership would address limited access to affordable credit, the high cost of equipment and inadequate access to advanced automotive technology.
“The initiative is designed to address limited access to affordable credit, expensive equipment and inadequate access to advanced automotive technology.
“The programme will encourage savings, financial literacy, entrepreneurship and digital capacity-building to strengthen the financial position and business management skills of automotive technicians.
“The success of this initiative will depend on trust, transparency, effective governance and the willingness of eligible members to participate actively,” Kpenosen said.
He said the programme would promote savings, cooperative investments, financial literacy, entrepreneurship, digital capacity-building and improved business management, with financing covering automotive tools, vehicles, motorcycles and spare parts.
Kpenosen explained that AUOMMATON would mobilise eligible members and encourage savings, while NOGALSS would administer the digital membership platform and facilitate access to approved financial products.
Mr Noah Emmanuel, National President of NOGALSS Apex Cooperative Society Ltd., said the partnership would be driven by a joint committee responsible for membership matters and sustained consultations.
He noted that AUOMMATON operated as an umbrella body for mechanics and technicians.
“Our collaboration is intended to provide a coordinated framework through which automotive workers can access cooperative opportunities and improve their economic well-being.
“The partnership will strengthen cooperation among automotive workers through a joint committee responsible for membership-related matters and continuous consultations.”
Dr Oseni Suleiman, National President of AUOMMATON, said the union was working to harmonise fragmented structures in the automotive industry, eliminate duplication and establish a coordinated framework for mechanics and technicians nationwide.
He said the union operated under the Trade Unions Act and derived its mandate from the Federal Ministry of Labour and Employment.
Suleiman said its affiliated bodies included NATA, MOMTAN, AWATON and LAMON, among others, with a combined membership exceeding 14 million.
He said the partnership would provide a coordinated framework for improving members’ welfare, expanding access to economic opportunities and accelerating development in Nigeria’s automotive sector.
