Nigeria has one of the highest poverty rates in the world, and a larger percentage of this are the youths. Because of this, the government created different empowerment programs and funding schemes to encourage entrepreneurship. Developing businesses is the fastest way to getting rid of unemployment in the country, and the Nigerian youth investment fund addresses just that. Here’s everything you should know about the Nigerian youth investment fund.
You must fulfill the following qualification and document criteria to be eligible for this fund:
Also, the Nigerian youth investment fund registration requires the following document from you:
You are ineligible to apply for the Nigerian youth investment fund if you are currently a beneficiary of NMFB loans at the time of application. These loans include the Targeted Credit Facility (TFC) and Agric business/small and Medium Enterprises Investment Scheme (AgSMEIS). Also, you cannot apply as a beneficiary of other government loan schemes.
The Nigerian youth investment fund is accessible by the following businesses:
However, note that preference is given to enterprises that support the growth of priority sectors. The businesses are identified by the Economic Recovery Growth Plan (ERGP) and the Nigerian Youth employment action plan.
Yes, there is one. They mandate all applicants to go through entrepreneurship training, which is arranged and approved by the Federal Ministry of Youth and Sports Development.
The terms and conditions of the Nigerian youth investment fund are as follows:
For unregistered individual businesses, the stated amount is a maximum of N250,000, subject to the activity and nature of the project. Registered businesses, on the other hand, are subjected to a maximum loan sum of N3.0 million including work capital. It depends on the nature and activity of the project.
The loan is subject to a maximum of 5 years, depending on the asset required and nature of the business.
the interest rate shall not be more than 5% per annum.
The scheme allows a moratorium of up to 1 year depending on the nature of nosiness and asset acquired.
The eligible financial institution for this scheme is the NIRSAL Microfinance Bank (NMFB).
The NMFB would leverage on the General Standing Instruction (GSI) as collateral.
repayment would be made to the NMFB by beneficiaries according to the repayment schedule and work plan as agreed during the application process.
The application procedure for this loan is very easy. To apply, simply visit the official website at www.nyif.nmfb.com.ng and follow the procedure. On successful credit checks, processing and confirmation, NMFB shall release funds accordingly to approved enterprises.
This scheme is designed to provide funds for youths to be able to chase their dreams in entrepreneurship. If you are a business owner, we highly encourage you to apply for this, for your betterment and that of the economy as a whole.