FG Begins 2nd Batch NYIF Loan Disbursement.

The Federal Government of Nigeria has started the second batch of loan disbursement to young entrepreneurs under the Nigeria Youth Investment Fund (NYIF).

The NYIF scheme aims to support youth-led businesses with up to N3 million in low-interest loans.

The Federal Ministry of Youth and Sports Development (FMYSD) launched the NYIF. The Central Bank of Nigeria (CBN) provides funding to support young people’s ideas for creating long-lasting companies to spur the economy and create jobs in Nigeria.

The initiative’s main goal is to encourage young people to invest in creative ideas, abilities, and talents that will enable them to become employers of labour, wealth producers, and entrepreneurs who will advance national development.

According to the Federal Ministry of Youth and Sports Development, the second disbursement batch will target 25,000 beneficiaries who have completed the online training and verification.

The FMYSD announced that the government has commenced the second batch of disbursement of funds to successful beneficiaries through designated microfinance banks.

The NYIF loan is expected to boost the growth and development of youth-owned enterprises in various sectors, such as agriculture, manufacturing, services, and technology.

The loan has a tenor of five years, a moratorium of one year, and an interest rate of 5% per annum. The loan is also collateral-free and can be accessed through the NYIF portal.

The ministry announced that recipients have received emails and texts and must follow particular instructions to get funding for the proposed initiatives.

In an email confirming their approval to receive the soft loan, less than 14% of the recently shortlisted applicants from the over 25,000 successful candidates who are expected to be part of the loan have responded, according to a press statement from the ministry signed by Muhammad Manga, director of press and public relations.

How Can NYIF Loan be Recieved?

You had to submit your information on the application page when it opened a year ago to express hope for the NYIF loan. As confirmed by the FMYS, messages have been sent to successful applicants.

As a beneficiary, your next step is to reply to the email and message delivered as soon as possible.
To access the funds, adhere to the instructions for creating a microfinance account.

FMYS has expressed regret at the poor response rate of applicants to their emails.

The distribution process cannot be completed until the shortlisted candidates have responded to correspondence. Those that don’t reply run the risk of losing this chance.

Young people who have stated their need for business funding receive payments from the Nigerian Youth Investment Fund (NYIF).

The names of the beneficiaries who received the first round of disbursements in 2020 are roughly 6,000 youth and have subsequently been made public.

About 4,375 applicants responded to their loan offer messages and received funds in the second batch disbursement.

Requirement to Access the NYIF Loan as FG Commences Second Round of Disbursement

To access the loan, you need to meet the following requirements:

  • You must be a Nigerian citizen by birth and between 18 and 35 years old.
  • You must have a valid ID card issued by the government, a bank account, and a bank verification number (BVN).
  • Must have a fundable business idea or a registered business over five years old would be best.
  • You must provide at least two guarantors who can vouch for your ability to repay the loan.
  • You must complete an online entrepreneurship training and submit a business plan.

How to Apply for the loan

  • To apply for the loan, visit any micro-credit banks nationwide or apply online.
  • You must fill out an application form and upload the required documents.
  • After submitting your application, you will receive a confirmation email and a reference number.
  • The reference number can be used to check your loan status on the NYIF portal. If your loan is approved, a notification will be sent to you, and the funds will be disbursed to your bank account.

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