More to know about the N75b Nigeria Youth Investment Fund (NYIF) and how to access it

In a bid to reduce youth unemployment in Nigeria and cushion the effect of the COVID-19 Pandemic on Nigerian businesses, the Nigerian Government has approved N75b for Nigeria Youth Investment Fund (NYIF) program.

Many of the Nigerian youths are left in doubts on how this huge amount of money could be possibly accessible to the youths without political manipulation and favouritism. Well, the Ministry of Youth and Sports has assured that the specific securities built around the funds ensures that any youth can access the fund without knowing anyone or being connected.

Here is a list of how to access the fund.

Basic requirements:

Potential beneficiaries are expected to: 

• The business owner must be a Nigerian 

•  Have a fundable or bankable business idea.

• The fund is made available to registered businesses only.

• The prospective beneficiary must have a current recognised means of identification 

• The prospective beneficiary is expected to provide a guarantor.  

Who is eligible:

 It is meant to cater to the investment needs of the young citizens between ages 18 and 35 years. Applications for the Fund are accepted from both individual businessmen and groups with common business entity and identity.   

Fund sponsors:

The Ministry of Finance, Budget and National Planning (MFBNP) and the Central Bank of Nigeria (CBN) will provide the financing to kick-start the Nigeria Youth Investment Fund (NYIF). It is part of the National Economic Sustainability Plan (NESP) approved recently by the Federal Executive Council (FEC) in the effort to counter the adverse impact of the COVID-19 on Nigeria’s economy.   

Loan amount:

The loan amount ranges from N250,000 to N50 million. The amount per beneficiary depends on the size of the business it is meant to fund.

 Group applicants are expected to give breakdown of the units of members of the group requiring specific amount upon which the total amount would be determined. The loan is also given either as a working capital loan set at one year or term loan set at three years with a single-digit interest rate of 5%. 

The federal government plans to disburse the loans in three tranches of N25 billion each year in the next three years. But it is expected that for the remaining parts of 2020, about N12.5 billion will be released to kick start the Program. It is expected that successive governments will keep the fund alive.  

 Disbursement Plan:

The loan would be disbursed through various channels like Micro Credit Organisations across the country under the Central Bank of Nigeria, CBN, supported by the Bank of Industry, BoI, Fintech Organisations and Venture Capital Organisations registered with the CBN.