Nigerian Youth Investment Fund: FG cash transfer NYIF loan of 75 Billion to credit microfinance business of young people is now ready - See how you to apply
In 2019, the percentage of youth who are unemployed in Nigeria is copious at almost 14% according to the data estimated released by the International Labour Organization.
The Nigeria government also confirmed that the level of unemployment in the country will be almost at 33.5% by 2020.
To solve this challenge, President Muhammadu Buhari recently approve the sum of 75 billion naira to establish the Nigeria Youth Investment Fund, NYIF.
This approval will come after a memo which the Minister of Sport and Youth Development, Sunday Dare submitted during the Federal Executive Council meeting which explains how the economy of the country can turn around for better if the country invested in the youths.
If the youths have any business ideas which is fundable, micro credit banks who are under the Central Bank of Nigeria for in the country can give them money to do such businesses.
The NYIF is to serve as a sort of Youth Bank that will fund and support the innovative ideas, skills, talents and enterprise of the Nigerian Youth. A loan and credit pathway dedicated to assessing credit and soft loans.This is the very first of its kind by any Nigerian government— Sunday Dare (@SundayDareSD) July 22, 2020
How the Nigeria Youth Investment Fund works
According to the Minister of Youth the "Nigeria Youth Investment Fund is not another contract, stipends, empowerment programme or any of the palliative measures ever done before by the Government in the past, this one is totally different because it gives the youths opportunity to become self starter, entrepreneur, wealth starter and employer of labour.You must have idea which is fundable, practicable and which is a good business idea so its investment. The country took the risk and the country put in their resources at the disposal of the youths for the first time in a direct manner, its an opportunity for youths to be extremely successful".
The ministry of Youth and Sport Development has begin the process on how the youth bank will operate and all the necessary legal documents needed. They also dey Collaborate with the Central Bank of Nigeria and the Ministry of Finance, Budget and National Planning and other relevant agencies to find money to start up the programme.
“The NYIF aims to reach 500,000 youth annually between 2020 & 2023. Each fund approval will range from N250,000 to N50,000,000. Working capital loans set at 1 year and term loans set at 3 years with single digit interest rate of 5%, and 1-year moratorium.” https://t.co/CDCnHLfg91— Government of Nigeria (@NigeriaGov) July 26, 2020
Mr. Sunday said they are hoping the program will commence on the first week of September 2020 and the target is to get 500,000 youth to enroll for the first year since its a three years programme. He said they will split the N75bn for three years, which is N25bn for each year.
Beneficiaries will get easy access to N250,000 to N50m soft loan at 5% interest rate depending on their business ideas. They will be able to receive it if they come as individual or as group.
This money is for only one purpose and is to fund the business ideas, innovative ideas, talent, skill and enterprise of the youths of the country.
One of the most important features of the Nigeria Youth Investment Fund approved by Mr. President is that it is a ring-fenced fund with a restriction that it can only be used for a particular purpose- that the money goes directly only to the youth to fund their ideas & enterprise— Sunday Dare (@SundayDareSD) July 23, 2020
Who is eligible and how to apply for the Nigeria Youth Investment Fund
The programme will hopefully start up on September and this is what is required from applicants who wants to apply for the youth investment fund.
- Applicant must be a Nigerian of Nationality and fall between the age of 18 and 35 years old.
- Graduate must be through with NYSC
- Non graduate must have any form of identity
- Applicant must have a simple business proposal that shows capital, profit margin, over head cost, market, and achievements to be achieved.
- The youth must submit idea which is fundable.
- National Identity Card, INEC Registration Card or Nigerian Passport
- One Guarantor
- Registered company
- Bank Verification Number
“Youth seeking to benefit must have a fundable business idea, registered business, be a citizen of Nigeria, present recognized means of identification & guarantors. Potential beneficiaries will not need to know anyone or be ‘connected’ to access the fund.” https://t.co/CDCnHLfg91— Government of Nigeria (@NigeriaGov) July 26, 2020
The ministries are still in review of what applicants must have in order to make it easier unlike collection of commercial loan.
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