Document background
The Tripartite Loan Agreement is a specialized financing document used in Nigeria when a lending arrangement requires the involvement of three distinct parties. This agreement is commonly employed in situations where additional security or guarantees are required to support a loan facility, making it particularly relevant for secured lending transactions, project finance, and complex commercial loans. The document comprehensively addresses the rights, obligations, and relationships between the lender (typically a financial institution), the borrower, and a third party (often a guarantor or security provider). It must comply with Nigerian banking regulations, including the Banks and Other Financial Institutions Act (BOFIA) 2020 and Central Bank of Nigeria guidelines. The agreement is essential for structuring secure lending arrangements while ensuring all parties' interests are protected under Nigerian law.
