UBA and Mikano Motors are giving eligible Nigerians another route to buying new cars through a financing partnership designed to reduce the upfront cost.
The two companies unveiled the ‘Drive Your Dream Today’ scheme at Mikano Motors’ Victoria Island showroom in Lagos on Monday. The partnership combines UBA’s consumer lending service with Mikano’s vehicle portfolio, targeting Nigerians who want to spread the cost of buying a new vehicle.
UBA Finances 70% as Buyers Repay Over Three Years
Under the scheme, eligible customers will pay 30% of their chosen vehicle’s cost upfront, while UBA finances the remaining 70%.
Customers will repay the loan over 36 months at an interest rate of 23%. UBA has opened the facility to salaried employees, entrepreneurs and self-employed customers, including applicants who may not receive a fixed monthly salary.
The process starts with an eligibility check through a UBA branch or the bank’s consumer lending channel. After approval, the customer can select a vehicle from Mikano Motors, obtain a proforma invoice and complete the financing process with the bank.
Chidi Okpala, UBA’s group executive director-designate for personal and business banking, said the partnership aims to make vehicle ownership more achievable while encouraging Nigerians to use formal credit.
UBA Group Head of Consumer Lending Frank Okoh added that the bank designed the process to accommodate different income structures rather than limiting access to salary earners.
Mikano Motors General Manager Tarek Mostafa said customers using the scheme will also have access to the company’s ownership support, including genuine spare parts, maintenance and servicing.
Mikano Pushes Financing to Ease Nigeria’s Carless Problem
The UBA agreement continues a financing push Mikano Motors started earlier this year.
In February, Mikano partnered with Autochek to create a digital route for customers who could manage installments but struggled to pay for a vehicle outright. Buyers can begin the process online or at a Mikano showroom using their BVN and NIN.
That push comes as car ownership moves further out of reach for many young Nigerians, including people several years into their careers.
In a 2025 234Drive article on young and carless Nigerians, a 26-year-old Lagos filmmaker revealed she had never felt close to owning a car since she started working in 2019. After around six years in the workforce, buying even a reliable used vehicle still felt financially distant.
A 27-year-old producer had owned two cars, but neither reflected what he could comfortably afford alone. His first was inherited, while his parents helped fund his second. He estimated that the newer car he wanted would cost around ₦20 million.
Even workers who bought cars earlier often needed help. A 33-year-old compliance professional bought her first used Toyota Corolla for about ₦1.7 million in 2018 while serving in NYSC, but only after her family pooled money together following a robbery incident.
For many young Nigerians, wanting a car and being able to finance one remain two very different things. Even several years into working life, buying outright can still require savings or family support that many people do not have.
Mikano is increasingly pushing financing as an alternative. Its agreements with Autochek and now UBA give buyers different routes to spread the cost rather than wait until they can afford a vehicle outright.
