The federal government has begun taking applications for N75 billion investment funds, Minister of Youth and Sports Development Minister, Mr Sunday Dare disclosed on Thursday.
Dare who disclosed this while inaugurating the application for the Nigeria Youth Investment Fund in Abuja, said it was a great milestone.
“It is my pleasure to address you as we record yet another milestone in our drive to increase government’s investment in our youths, who we recognise as assets and not problems,” he said.
“This mindset is the impetus that propelled us to approach the Federal Executive Council to approve the Nigeria Youth Investment Fund as ring fenced fund for the Nigerian youth, our own sort of a youth bank.
“The Federal Executive Council on July 22, 2020 thus approved the Nigeria Youth Investment Fund to the tune of N75bn spread over three years to cater to youth owned businesses and investment need.”
Dare said the Central Bank of Nigeria, in line with the Federal Government’s directive, provided the initial N12.5bn required for the fund to operate in the remainder of 2020.
“We are also grateful that the Ministry of Finance, Budget and National Planning has on its part committed to provide the next tranche of the fund in the 2021 Budget,” he added.
He said the loan provided under NYIF had an interest rate of five per cent per annum.
Youths applying as individuals or non-registered businesses would be able to draw up to N250,000, while youth owned registered businesses could apply for up to N3m, he said.
The minister noted that loans had five years tenure with moratorium of up to 12 months.
He said NISRAL Microfinance Bank was selected as disbursement agency, given its reach and spread which ensured that youths across the country had access to apply for the fund.