CBN 3 Million Naira Collateral-free Loan for SMEs & Individuals: The Central Bank of Nigeria is giving collateral-free loans of up to N3,000,000 (Three million Naira) to small businesses in a scheme called; Agric-Business/Small and Medium Enterprises Investment Scheme (AGSMEIS).
The Scheme supports governments policy measures for the promotion of agricultural businesses, micro, small and medium enterprises (MSMEs) as vehicles for sustainable economic development and employment generation.
Table of Contents
- 1 CBN 3 Million Naira Collateral-free Loan for SMEs & Individuals.
- 2 How to access up to 3 Million Naira collateral-free CBN loans for Small Businesses and Individuals.
Objectives of the Scheme
– To improve access to affordable and sustainable finance by Agri-businesses, Micro, Small and Medium Enterprises (MSMEs
– Create employment opportunities in Nigeria
– Boost the managerial capacity of agri-businesses and MSMEs to grow the enterprises into large corporate organizations in line with the Federal Government’s agenda to develop the real sector and promote inclusive growth.
1. Agriculture & Agro-allied Processing
2. Art & Entertainment
3. Automobile Services
4. Fashion and Dressmaking
5. Catering & Event Management
6. Courier & Delivery Services
7. Creative Industry
8. Apparels and Textiles
10. Cottage Industry
15. Health Services
16. Welding and fabrication
17. Animal Husbandry
18. Cosmetics, Beauty and Makeup Artistry
19. Electrical and Electronics
20. POP and Tiling
23. Kerbs and Electric Pole making
How to access up to 3 Million Naira collateral-free CBN loans for Small Businesses and Individuals.
Financing under the Scheme shall be for start-ups, business expansion or revival of ailing companies. The terms of the loans shall be as follows:
Loan amount: Up to N3,000,000
Interest: 5% per annum
Tenor: Up to 7 years (depending on the nature/gestation period of the project)
Moratorium: Maximum of 18 months for principal and 6 months on interest.
Eligible applicants are to apply through EDIs
To access the AGMEIS loan, there are some conditions that must be met:
1. Interested Applicants must undergo business training by a CBN certified Entrepreneurship Development Institution (EDI)
2. Interested Applicants will apply for the loan through CBN accredited EDIs
3. The application will then be sent to CBN for processing by the EDI
Requirements either during the application or before final approval/disbursement
- Certification by a CBN certified EDI
- Passport photo of you and guarantor
- Valid ID card
- Business plan written by an EDI
The EDI also guides and assists you in getting all necessary documents required to secure the loan, including a business plan.
The EDI shall collate, appraise and submit applications and business plans to CBN for Applicants.
Due to COVID-19, EDIs training can also be done online as follows:
Training/Processing Fee: N30,000
The fee covers mandatory Training, Writing of Business plans, other support services such as uploading your documents to the CBN portal, etc.