TECHNOCRAT MEDIA NIGERIA
The Central Bank of Nigeria (CBN) says N25m for graduate entrepreneurs as the Bank issues guidelines for the implementation of the Tertiary Institutions Entrepreneurship Scheme (TIES) to harness the potential of graduate entrepreneurs.
The Nigeria apex bank made the disclosure on Wednesday in a document released and signed by CBN’s director, development finance, Yusuf Yila Philip.
The CBN said the objective of the TIES is to enhance access to finance by undergraduates and graduates of polytechnics and universities in Nigeria with innovative entrepreneurial and technological ideas.
According to the document, the scheme is targeted at financing 25,000 gradpreneurs annually, which will lead to the creation of an additional 75,000 sustainable jobs annually.
The Bank said listed start-ups and existing businesses in areas such as agribusiness, information technology, creative industry, as well as science and technology are eligible for financing under the scheme.
It also stated that priority would be given to innovative entrepreneurial activities with high potentials for export, job creation, and transformational impact.
The apex bank explained that term loans, equity investments, and developmental components are the three components in which the scheme will be implemented.
Under the term loan component, an individual project can access a maximum loan of N5 million with a five-year tenor and interest rate of five percent per annum (nine percent effective from March 1, 2022, or as may be prescribed by the CBN)
For partnership/company projects, the loan is limited to N25 million.
“Applicants under the Scheme shall be graduates of Nigerian polytechnics and universities with first-degree certificate (BSc/HND/ or its 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,” the document reads.
The CBN added that the equity investment component shall be in the form of injection of fresh capital for start-ups, expansion of established businesses, or reviving of ailing entrepreneurial businesses.
Another component of the intervention is the developmental component which shall be disbursed in the form of grants to Nigerian polytechnics and universities in a national biennial entrepreneurship competition.
The apex bank said it would award N500 million worth of grants to five top Nigerian polytechnics and universities with the best entrepreneurial pitches/ideas.
Only undergraduates of Nigerian polytechnics and universities are eligible to participate under the developmental component.
“Five top Nigerian polytechnics and universities with the best entrepreneurial pitches/ideas shall be awarded as follows: first place – N150m; second place – N120m; third place – N100m; fourth place – N80m; and fifth place – N50m,” the document stated.
The Bank encourage interested applicants to apply through the dedicated online portal (https://cbnties.com.ng) and provide all the requisite documents to support the application.