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CBN releases framework for disbursement of N75bn youth investment fund

FSRCC of the CBN FSRCC of the CBN

The Central Bank of Nigeria (CBN) has released the framework for NIRSAL Microfinance Bank (NMFB) to commence the disbursement of N75 billion Nigeria Youth Investment Fund (NYIF).

This was contained in a CBN’s report, titled: ‘Framework for the operation of the NIRSAL Microfinance Bank window of the Nigeria Youth Investment Fund’, released on Wednesday.

According to the report, N75 billion was approved by the federal executive council (FEC) on July 22, 2020 for the establishment of the NYIF for a period between 2020 and 2023, dedicated to investing in the innovative ideas, skills and talents of Nigerian youth.

The NYIF was also developed to institutionally provide youth with a special window for accessing much needed funds, finances, business management skills and other inputs critical for sustainable enterprise development.

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The report showed that the NYIF targets young people between ages 18-35 years and with the ministry of youth and sports development, responsible for budgetary provisions and for funds mobilisation.

CBN said the NYIF aims to financially empower Nigerian youth to generate at least 500,000 jobs between 2020 and 2023 while the NMFB window will be funded with an initial take-off seed capital of N12.5 billion.

It said both individuals (unregistered businesses) and registered businesses can apply for the NYIF scheme. The individual is subject to N250,000 maximum while registered businesses is subject to N3 million maximum.

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The apex bank said tenor for the loans will last for maximum five years, however, depending on the nature of the business and the assets acquired; adding that moratorium of up to 12 months may be allowed also depending on the nature of the business and the assets acquired.

It further said the interest rate under the intervention will not be more than 5 percent per annum.

7 comments
  1. I applied for the fund but I’ve not received any reply. Some info I found online said it’ll be disbursed this October. What’s the next step after the application for the fund? Is there anything else one should do?

  2. Some of us are yet to be registered for this scheme, I thought the platform should be made open for every youth to easily access it.
    How do I get registered please?

  3. What is the rationale for limiting the age limit to 35 and what is the justification for that in the reality in Nigeria today as regards unemployment and poverty rate?

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