Applications have opened for the Nigerian Youth Investment Fund (NYIF) which aims to financially empower Nigerian youths to generate at least 500,000 jobs between 2020 and 2023. The N75 billion NYIF was approved by the Federal Government on 22 July 2020 during a virtual meeting of the Federal Executive Council, presided over by President Muhammadu Buhari.
NYIF targets young people between the ages of 18-35 years and was set up as an initiative of the Federal Ministry of Youth and Sports Development (FMYSD) and funded by the Central Bank of Nigeria (CBN) to invest in youth ideas to build sustainable businesses and increase job opportunities in Nigeria.
The fund is dedicated to investing in the innovative ideas, skills & talents of Nigerian youths aimed at turning them into entrepreneurs, wealth creators, and employers of labour, contributing to national development.
The interest rate under the intervention is 5% per annum (all-inclusive), a maximum tenor of not more than 5 years with a one-year moratorium.
Individual/Non-Registered Businesses can access a maximum of N250,000 under the NYIF while Registered Businesses (Business name/Limited Liability/Cooperative Society/Commodities Associations) can access up to N3 Million, according to the information on NIRSAL Microfinance Bank Website.
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Eligibility
Individuals / Non-registered Businesses – Up to N250,000
- Individual within the age bracket of 18 to 35 years
- Has a valid BVN and means of ID such as Voter’s Card, Driver’s license, National ID/NIN Slip & International passport.
- Provision of Business plan Summary or Completed Questionnaire
- Entrepreneurship Training Certification from FMYSD Entrepreneurship Development Institutes (EDIs)
Registered Businesses – Up to N3 Million
- Formal business enterprises (Youth owned enterprises), duly registered with the Corporate Affairs Commission (CAC)
- Valid Bank Verification Number (BVNs) of Directors
- Provision of Tax Identification Number (TIN)
- Entrepreneurship Training Certification from FMYSD EDIs
- Eligible Business/Enterprises must be domiciled and operational in Nigeria.
How to apply
Step 1: Eligible applicants submit applications successfully on NMFB’s portal.
Step 2: Applicants to attend a compulsory entrepreneurship training with an approved Federal Ministry of Youth & Sports Development (FMYSD) EDIs
Step 3: Successfully trained prospective applicants proceed to NIRSAL Microfinance Bank (NMFB) portal to apply for the loan.
Step 4: NMFB conducts loan assessment in line with Risk Assessment Criteria and programme guideline, make an appropriate decision and forward recommended applications to CBN for final approval.
Step 5: CBN reviews applications and gives final approval for disbursement to NMFB
Collateral is not required for this facility, but all assets purchased under the scheme must be registered with the National Collateral Registry (NCR). Also, the Global Standing Instruction (GSI) mandate will be activated to ensure full repayment by the loan obligor. Click here to apply
Note: People who are currently under any CBN intervention fund cannot access this facility except previous CBN intervention loan(s) has been fully repaid.
The message on CBN website still reads that the “Nigerian Youth Investment Fund is coming soon.”
The registration for the FG MSMEs N75 bn Survival Fund is ongoing and will end on Thursday 15 October 2020. Here is the step by step registration process.
By; Ifunanya Ikueze
