CBN Officially Launches TIES Loan Scheme

TIES Loan: CBN Undergraduate And Graduate Loan – Apply Here

The Central Bank of Nigeria (CBN) introduced a new loan with the week named Scheme named Tertiary Institution Entrepreneurship Scheme (TIES) for undergraduates in any accredited University or Polytechnic in Nigeria and graduates (not more than 7 years of graduation).

About The CBN Tertiary Institution Entrepreneurship Scheme (TIES)

The CBN N500M undergraduate and Graduates loan is created under the Tertiary Institutions Entrepreneurship Scheme (TIES), in collaboration with Nigerian universities and polytechnics to harness the potential of graduate entrepreneurs in Nigeria.

You may also want to read List Of CBN Empowerment And Entrepreneurship Options For NEXIT.

Aim Of The CBN TIES Loan

The CBN TIES Loan is aimed at encouraging entrepreneurship in the Tertiary Institutions in order to address rising youth unemployment and underemployment in Nigeria.

According to the Central Bank of Nigeria, the introduction of the Tertiary Institution Entrepreneurship Scheme  (TIES) is to create a paradigm shift among undergraduates and Graduates of Nigerian Polytechnics and Universities, from seeking white-collar jobs to Entrepreneurship.

The Scheme also aims to provide innovative financing model that will boost job creation, enhance entrepreneurship development and support economic growth.

Objectives

The broad objective of the Scheme is to enhance access to finance by undergraduates and graduates of polytechnics and universities in Nigeria with innovative entrepreneurial and technological ideas. Other specific objectives of the Scheme include:

  1. Provide an enabling environment for co-creation, mentorship, and development of entrepreneurial and technological innovations for value creation in partnership with Nigerian polytechnics and universities for the purpose of economic development and job creation;
  2. Fast track ideation, creation, and acceleration of a culture of innovation-driven entrepreneurship skills among graduates of polytechnics and universities in Nigeria;
  3. Promote gender balance in entrepreneurship development through capacity development and improved access to finance;
  4. Leapfrog entrepreneurial capacity of undergraduates and graduates for entrepreneurship and economic development in partnership with academia and industry practitioners; and
  5. Boost contribution of the non-oil sector to the nation’s GDP.

Eligibility

Below are the criteria to be met in order to benefit from this fund:

Applicants under the Scheme shall be graduates of Nigerian polytechnics and universities with:

  • First-degree certificate (BSc/HND/ or it is equivalent);
  • National Youth Service Certificate (NYSC) discharge or exemption
    certificate;
  • Certificate of Participation issued by polytechnics and universities
    evidencing entrepreneurship training; and
  • Not more than 7 years post-NYSC.

Eligible Activities (Areas of Business)

The activities to be covered under the Scheme shall include innovative start-ups and budding businesses owned by graduates of Nigerian polytechnics and universities in the following areas:

  1. Agribusiness – production, processing, storage, and logistics;
  2. Information technology – application/software development, business process outsourcing, robotics, data management;
  3. Creative industry – entertainment, artwork, publishing, culinary/event management, fashion, photography, beauty/cosmetics;
  4. Science and technology – medical innovation, robotics, ticketing

Note: Trading activities shall not be eligible for financing under the Scheme.

Loan Categories

There are two Loan Categories in the Scheme. They are Sole Proprietors TIES Loan and Small Company / Enterprise TIES Loan.

1. Sole Proprietors: Businesses owned by one person can access up to N5 Million Loan under the Loan Scheme.

Loan Duration (Tenor): 5 years

Interest Rate: 5% from now to February 28, 2022 ( and 9% from March 1, 2022)

Moratorium: Maximum of 12 months (dependent on the type of business)

2. Small Company / Enterprise: Group-owned businesses must be registered with the Corporate Affairs Commission (CAC) and certified true copies (CTC) of relevant forms submitted.

The group can access up to N25 Million loans under the TIES Loan Scheme.

Loan Duration (Tenor): 5 years

Interest Rate: 5% from now to February 28, 2022 ( and 9% from March 1, 2022)

Moratorium: Maximum of 12 months (dependent on the type of business)

You may also want to read MTN Foundation Scholarship Form 2021/2022 For Undergraduate Nigerian Students

 How To Apply For CBN Undergraduate, Graduate TIES Loan

Interested and qualified applicants should kindly visit their official website https://cbnties.com.ng to apply.

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TIES Loan: CBN Undergraduate And Graduate Loan

By Okpara Kenneth

https://www.flippstack.com

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