Document background
The Bilateral Credit Agreement is a fundamental financing document used in Nigerian banking and lending transactions when one party (the lender) agrees to provide credit facilities to another party (the borrower). This agreement is essential for documenting commercial lending arrangements in Nigeria and must comply with local banking regulations, including the Banks and Other Financial Institutions Act (BOFIA) and Central Bank of Nigeria guidelines. The document is typically used for corporate loans, project financing, or significant personal lending, containing detailed provisions on facility terms, security, representations, covenants, and events of default. It requires careful consideration of Nigerian contract law, banking regulations, and security registration requirements, particularly when dealing with secured lending or foreign currency facilities.
