Federal Government of Nigeria Awards ₦500,000 Federal Government Grants to Youth Entrepreneurs In Abuja

In a significant move to improve youth entrepreneurship and economic growth and development, the Federal Government of Nigeria has awarded ₦500,000 federal government grants each to one hundred and twenty winners of the Unlock Training Programme for unemployed youths. This initiative aims to foster business startups and enhance the potential of young Nigerians.

Abiola Arogundade, Senior Special Assistant to President Bola Ahmed Tinubu, made this announcement on Saturday during the official closing ceremony of the Unlock Training Programme in Abuja. The event also featured the award of grants, solar kiosks, and certificates of completion to deserving participants.

Abiola Arogundade, said that the unlock training programme was the culmination of a 6 week campaign initiated by her office. During this period, Nigerian youths were invited to submit one-minute videos showcasing their current technical, vocational, and entrepreneurial skills, as well as their future plans and how they envisioned government support.

“The purpose of the programme is to boost the potential of youths for economic development,” Abiola Arogundade, said. Abiola Arogundade, highlighted that approximately ten thousand participants underwent a ten day intensive training session focused on business plan creation and execution. This training included components such as executive summaries, business overviews, marketing strategies, pricing, money management, and risk management.

Out of these participants, one hundred and twenty winners were selected based on the quality of their business plans and were awarded ₦500,000 federal government grant each. Additionally, eighty individuals received honorary awards for their exemplary performance in technical, vocational, and entrepreneurial skills, and for their need for support to upscale their businesses.

Abiola Arogundade, expressed optimism that these federal government grants would serve as significant incentives for the recipients, aiding their business growth. Abiola Arogundade, assured that her office would continue to support skills and enterprise development through future programmes.

“We would like to also say that this is one of our many programmes in supporting skills and enterprise and we intend to continue to do so in our office. So, if you are not a winner today, please continue to apply to participate in our future programmes,” Abiola Arogundade, said.

The unlock training programme also saw the distribution of four solar kiosks designed for various business purposes, including hairdressing, catering, food vending, and general services. These kiosks are equipped with phone charging sockets, spaces for POS, and other business utilities, contributing to the job creation projects under President Bola Ahmed Tinubu’s Renewed Hope Agenda.

Special Adviser to the President on Information and Strategy, Bayo Onanuga, congratulated Abiola Arogundade, for the successful execution of the unlock training programme and urged the grant recipients to make effective use of their new resources. Bayo Onanuga, also encouraged youths to embrace skills acquisition as a viable means of livelihood.

Participants expressed their gratitude to President Bola Ahmed Tinubu and acknowledged the life-changing impact of the initiative. Ms. Oluwaseun Kekere-ekun, one of the resource persons, praised the unlock training programme for igniting the entrepreneurial spirit among Nigerian youths and advised aspiring entrepreneurs to start small, dream big, and remain focused.

The News Agency of Nigeria (NAN) reports that all participants received Certificates of Completion to assist in registering their companies with the Corporate Affairs Commission (CAC). Providus Bank was also present to issue incorporation certificates and credit the winners with their grants.

This initiative marks a promising step towards empowering Nigerian youths and promoting sustainable economic development across the country.

Source: https://www.gistmania.com/talk/topic,594744.0.html

Second Phase Of Student Loan Takes Off 2 Weeks From Now

The first phase of the Federal Government Student Loan scheme is already in full swing and barring any late minute change of plans, the second phase of the student loan scheme will take off 2 weeks from now.

The student loan scheme, according to the federal government, is designed to guarantee sustainable higher education and functional skill development for Nigerian students and youths.

As lofty as the aims and objectives of the student loan scheme appear, many intending beneficiaries of the student loan scheme said they are approaching the student loan scheme with cautious optimism.

A week after opening the student loan portal for the application of intending beneficiaries for the first phase, about sixty thousand applicants for the student loan, according to the management of the fund, had shown intention to register for the student loan scheme.

This represents 5% of the projected number of beneficiaries which the government pegged at 1,200,000.

The first phase of the student loan scheme takes care of applications from students from the nation’s two hundred and twenty nine federal tertiary institutions comprising Federal Government-owned universities, polytechnics, monotechnics and colleges of education while a total of three hundred and thirty six state government-owned institutions of higher learning are billed for the second phase of the student loan scheme which is slated to commence on 25th June 2024.

Concerns, however, have been mounting over the student loan scheme since the idea was mooted during the administration of former President Muhammadu Buhari.

And despite the series of amendments effected by the new administration to ensure that no Nigerian student is excluded from the student loan scheme, stakeholders in the nation’s education sector are still entertaining some misgivings about the student loan scheme.

Taofeek Adeyemi, a student of Moshood Abiola Polytechnic, Abeokuta, Ogun State, who praised the government for coming up with the student loan scheme is of the opinion that the 2 year-post NYSC repayment period and the 3 year jail term prescribed for defaulters will make the student loan scheme unattractive to many intending beneficiaries.

Taofeek Adeyemi said that the prospect of securing a good job 2 years after the mandatory national youth service corp is almost a tall order.

“I know some graduates who are still jobless more than three years after national service. What this means is that anyone who subscribes to the loan scheme, but who is unlucky to get a job might find it difficult to start the repayment two years after the national youth service scheme. Such a person will be courting a serious problem. That is definitely a sort of demotivation,” Taofeek Adeyemi said.

A similar view was echoed by David Ikhile, an undergraduate of Delta State University, who said that he was still weighing his options as far as the student loan scheme is concerned.

According to David Ikhile, the student loan scheme, when it eventually gets underway, will come as a huge relief to most students in public universities, particularly those from humble backgrounds.

David Ikhile is, however, concerned about the possibility of having to be bogged down with debt as a student and after graduation.

Like many Nigerians, David Ikhile viewed the whole idea of the student loan programme as an exit door for the government to relieve itself of the burden of financing tertiary education and shifting the responsibility wholly to the parents.

David Ikhile's words: “My understanding of the idea behind the initiative is that we might be getting to the stage when the government may back out from financing education and shifting the whole burden on Nigerians. What this, therefore, means to me is that schools may begin to charge more school fees and forcing the students to resort to taking out loans and incurring more debts which may become too burdensome to pay back in future. One will then get bogged down with huge debt after graduating. More worrisome is the consequence that will follow should one fail to pay back. All these, to me, call for deep consideration before making a decision as to whether or not to subscribe to the scheme.”

Similarly, many analysts are of the opinion that the student loan scheme could be a smokescreen by the government to suppress the widespread anger against the recent increase in school fees in federal institutions of higher learning and to find a basis to justify the hike. Most tertiary institutions in the country had recently raised their tuition fees by over 100%, thus putting further strains on the finances of parents and guardians who also have to contend with the poor state of the economy which has reduced their purchasing power and savings.

An educationist, Mr Oludele Jegede expressed doubt over government’s sincerity about the student loan scheme, which he described as a well-crafted getaway ploy by the government to dodge its responsibility and to douse the ill-feeling that greeted the recent hike of tuition fees by most tertiary institutions in the country.

Mr Oludele Jegede said: Personally, I have my fear about the whole idea and motive of the student loan arrangement. The government, over the years, has consistently attempted to shirk away from its responsibility of financing education, especially tertiary education in this country. And whether we like it or not, it is just a matter of time before this reality finally dawns on all of us. What I interpret this to mean is that sooner or later, the government will gradually divest itself from financing education in this country the moment it is able to put the scheme to work. And meanwhile I doubt if the scheme is sustainable.”

Mr Oludele Jegede noted that should the government succeed in divesting itself from the responsibility of financing tertiary education, all incentives and cushions such as bursaries, grants, and scholarships to brilliant and indigent students would definitely give way.

“That will automatically spell doom for students from poor background because the government would have succeeded in further narrowing access to higher education in the country,” Mr Oludele Jegede said.

Supporting Mr Oludele Jegede's view, a retired education administrator, Dr Nelson Ifejokwu, pointed out that history has not been favourable to the idea of student loan, maintaining that previous attempts by governments in the past had been uneventful.

“This is not the first time the government will be considering this initiative. We have had between three to four attempts in the past which ended in fiasco. The bottom line is that successive attempts at floating loan scheme for students were never backed up by strong political will by their initiators. If the scheme could fail as far back as in the 1970s when one could say we had a better system, I doubt its feasibility at a time like this when the entire system has been turned upside down. I hope and pray the government get it right this time around. Otherwise it could spell doom for the nation’s education and the children of the poor masses could be the ultimate losers,” Dr Nelson Ifejokwu, stated.

Source: https://sunnewsonline.com/suspicion-trails-student-loan-scheme-ahead-of-second-phase-take-off/

The Nigerian Education Loan Fund (NELFUND) Receives Sixty Thousand Student Loan Applications In 7 Days

The Nigerian Education Loan Fund (NELFUND) has revealed that over sixty thousand students from federal tertiary institutions and universities have so far applied on its student loan portal to register for student loans.

The Managing Director/Chief Executive Officer of the Nigerian Education Loan Fund (NELFUND), Dr. Akintinde Sawyerr, stated this during a post-application launch press conference in Abuja on Thursday.

It would be recalled that the student loan portal was opened last Friday for student loan applications from students across one hundred and twenty six tertiary institutions, covering Federal universities, Federal Polytechnics and Federal Colleges of Education.

The Managing Director/Chief Executive Officer of the Nigerian Education Loan Fund (NELFUND), Dr. Akintinde Sawyerr, also revealed that over ninety percent of federal institutions of higher learning have submitted their students’ information to the Nigerian Education Loan Fund (NELFUND), while pleading with the remaining 2 Federal Universities and 5 federal Polytechnics to speed up the process to ensure that all eligible students can access the financial support from the Nigerian Education Loan Fund (NELFUND).

This is just as he said the Nigerian Education Loan Fund (NELFUND), student loan portal will be opened for students in state-owned tertiary institutions on June 25, 2024.

Dr. Akintinde Sawyerr said; “Since the launch of our student loan application portal last Friday for students in Federal institutions of higher learning, we have witnessed an extraordinary surge in applications, with over sixty thousand submissions since inception.

“The overwhelming response serves as a testament to the critical need for financial assistance among our student population, and we remain committed to addressing this urgent demand.

“In line with our commitment to democratise higher education, we are excited to announce that NELFUND will commence accepting applications from students attending state-owned tertiary institutions in three weeks.

“We request all state institutions submit their students’ data immediately, as requested, to facilitate a smooth and seamless application process.”

Adding, Dr. Akintinde Sawyerr said beyond financial assistance, the Nigerian Education Loan Fund (NELFUND) recognises the profound importance of equipping the youth with practical, market-relevant skills, saying that in 6 months from now, it will launch a comprehensive skills acquisition programme, providing training in various vocational and technical fields.

“This programme is designed to prepare students to meet the demands of the modern job market, fostering entrepreneurship and innovation among our young people,” Dr. Akintinde Sawyerr stated.

Source: https://leadership.ng/student-loan-nelfund-receives-60000-applications-in-1-week/

Nitda Digital Literacy for All Initiative (DL4ALL) Application

The Nitda Digital Literacy for All Initiative (DL4ALL) aims to bridge the digital divide in Nigeria by training a critical mass in foundational digital literacy skills. This Nitda Digital Literacy for All Initiative (DL4ALL) is strategically designed to propel Nigeria towards a 70 percent digital literacy level by 2027. This Nitda Digital Literacy for All Initiative (DL4ALL) recognises the urgency to equip individuals with the necessary tools to:

1) Access and utilise online resources for education, employment, and government services safely.

2) Protect themselves online from cyber threats and misinformation.

3) Communicate and collaborate effectively using digital tools.

4) Develop the digital fluency required for many in- demand jobs.

Target Beneficiaries for The Nitda Digital Literacy for All Initiative (DL4ALL)

The Nitda Digital Literacy for All Initiative (DL4ALL) Initiative aims to reach a broad and diverse population across Nigeria to bridge the digital divide.

These include:

1) Children & Youth

Equipping the younger generation with digital literacy skills will prepare them for future careers and foster innovation in the digital economy.

2) Adults

Upskilling the existing workforce with digital literacy will enhance employability and participation in the online world.

3) Senior Citizens

Empowering older adults with digital skills will facilitate access to essential services, improve social connections, and combat digital isolation.

4) Training Proficiency Level

The Nitda Digital Literacy for All Initiative (DL4ALL) initiative has training content at two proficiency levels:

A) Foundational Level – for learners with no prior experience using technology.

B) Intermediate Level – to build upon foundational skills and offer training in more advanced digital applications relevant to study, work and daily life.

Training Delivery Channels for The Nitda Digital Literacy for All Initiative (DL4ALL)

1) Nitda Digital Literacy for All Initiative (DL4ALL) offers online Learning Platforms

2)  Nitda Digital Literacy for All Initiative (DL4ALL) offers user-friendly online content on learning management systems (LMS) and social media platforms for individuals to access modules at their own pace.

3) Nitda Digital Literacy for All Initiative (DL4ALL) offers Train-the-Trainer a national network of digital literacy trainers will be equipped with the necessary skills and knowledge to effectively deliver the curriculum across different regions and demographics.

4) Nitda Digital Literacy for All Initiative (DL4ALL) provides integration with Existing Education Systems, collaborating with Federal and State Ministries of Education to implement the integration of digital literacy modules into existing curriculums.

5) Nitda Digital Literacy for All Initiative (DL4ALL) offers offline learning materials, provision of printed booklets for learners in areas with limited internet penetration.

6) Nitda Digital Literacy for All Initiative (DL4ALL) provides mobile training units, with technology and trainers to reach remote communities with limited access to resources.

7)  Nitda Digital Literacy for All Initiative (DL4ALL) offers In-Person Workshops, conducting workshops in collaboration with community centres, libraries, and faith-based organisations, particularly in rural areas.

How to apply for Nitda Digital Literacy for All Initiative (DL4ALL):

Interested applicants should apply via https://dl4all.nitda.gov.ng

Federal Government of Nigeria Offers ₦1,000,000,000 Federal Government Loan To Large Scale Businesses at 9% Interest Rate – Wale Edun

 

The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has said that the federal government is offering up to ₦1,000,000,000 in federal government loan to large scale business enterprises, including manufacturers, at a 9% interest rate.

The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, disclosed this in a  statement during an interview on Channel TV on Sunday on the state of the economy.

The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, stated that both large and small-scale businesses can access the federal government loan at no more than 9% interest.

According to the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, small-scale businesses can obtain federal government loans up to ₦1,000,000, while large scale industries are eligible for as much as ₦1,000,000,000 all at the same modest interest rate of 9%.

“Our emphasis is that we make sure that we ramp up the speed and the scale of the help that is there. We are offering loans at 9% for medium-scale enterprises for up to ₦1,000,000 for small enterprises.

“And for the larger enterprises, we are offering up to ₦1,000,000,000 funding at 9% so that those manufacturing firms can invest, grow the economy, employ people, and produce more goods that will help push down inflation.

“As I said, for the largest enterprises, the government did sit down with the private sector, the manufacturer association and other stakeholders and the governors to provide an economy stabilization plan and have the measures announced,” Wale Edun said.

Speaking on the increase in interest rate on the part of the Central Bank of Nigeria, Wale Edun stated that the position of the central bank is already working in reining in inflation.

Wale Edun said the inflation rate has gradually declined quarter by quarter this year as opposed to that of last year.

According to Wale Edun, the government needs to “stay the course” to ensure that inflation is brought down as well as the prices of goods and services.

“It is very rare that the monetary authorities set as their target fighting inflation, bringing down prices generally. We have seen gradual growth quarter by quarter. Compared to the first quarter last year, growth is up. It is up to about 2.9% above population growth. You do have the economy growing in the right direction.

“We just need to stay the course and in staying that course, help is being given across the board,” Wale Edun said.

The Central Bank of Nigeria (CBN) last May increased the monetary policy rate by 150 basis points to 26.25% from 24.75%.

Many business owners and stakeholders lament that this hawkish position of the central bank will affect the economy negatively, particularly making it difficult for them to access federal government loans.

For instance, the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) said the policy could inadvertently cause inflation, with businesses likely to increase the prices of goods and services to offset the higher borrowing costs.

Others also have raised similar concerns adding that the rate increase is counterproductive and that the will not address money supply challenges in the country.

Source: https://nairametrics.com/2024/06/03/fg-offers-n1-billion-loan-to-large-businesses-at-9-interest-rate-wale-edun/

Npower News: Federal Government Loan

Revolutionizing Financial Support

Introducing The Federal Government Loan - A Game-Changer in Economic Empowerment.

Below are the business that are eligible to apply for the federal government loan

A) Traders 

These include single retail marketers, corner shop owners, petty traders, market men and women in open markets.

B) Food services 

These include food, fruits and vegetable vendors, etc.

C) ICT

These include business centre operators, battery chargers, recharge card vendors, call centre agents.

D) Transportation 

These include wheelbarrow pushers, independent dispatch riders.

E) Creatives

These include makeup artists, fashion designers, drycleaners.

F) Artisans 

These include vulcanizers, shoemakers, painters, repairers.

A) Eligibility Criteria For The Federal Government Loan 

The following below are the eligibility criteria before applying for the federal government loan 

1).Existing business must be in operation for one (1) year.

2) Start-ups must be a registered business.

3) Provide CAC or SMEDAN business registration documents.

4) Company’s Bank Statement(s) for a period of one (1) year (for existing business)/ Chief Promoter’s (Director or Business owner) Bank Statement(s) for a period of one (1) year (for startups).

5) Have required monthly turnover and other things as may be requested by the bank.

B) Security For The Federal Government Loan 

1) Personal Guarantee of the promoter

2) Acceptance of BVN Covenant (Global Standing Instruction- GSI), and any other thing that may be required by the bank

C) Repayment Frequency For The Federal Government Loan 

Monthly equal installment (no moratorium) over a period of 3 years

D) Repayment term:

i) Asset Financing

Six Months moratorium on principal and interest, five years repayment period for asset financing only.

ii) Working Capital Financing

Twelve months equal installment of principal and interest

We prioritise transparency and efficiency, ensuring that the federal government loan is disbursed swiftly to deserving businesses.

The federal government loan application portal leverages cutting-edge technology to make the entire process accessible through smartphones and computers, allowing Small and Medium Enterprises (SMEs) to apply for the federal government loan from anywhere.

We understand the importance of financial education. Therefore, the federal government loan application platform provides resources and training to empower Small and Medium Enterprises (SMEs) with the knowledge to manage their federal government loan effectively.

Frequently Asked Questions Regarding The Federal Government Loan 

Q. How will I know if I qualify for the federal government loan?

A. The criteria are provided on the website www.fedgrantandloan.gov.ng

Q. What are the terms of the federal government loan?

A. The federal government loan term is thirty six months for Micro Small and Medium Enterprises (MSMEs) and Manufacturers (Working capital) is twelve months, while Manufacturers (Asset financing) has a sixty-month tenor with a six-month moratorium.

Q. What if I do not meet the eligibility criteria for the federal government loan? Will I be considered?

A. No

Q. What is the interest rate of the federal government loan?

A. The interest rate for the federal government loan is 9% per annum.

Q. Is there a moratorium period for the federal government loan?

A. There is a 6-month moratorium period for Manufacturers applying for asset financing only.

Q. What if I cannot pay back the federal government loan?

A. The bank will apply all legal measures to recover the federal government loan from the borrower.

Q. Can I apply for the federal government loan with a partner company?

A. Yes. Applicant for the federal government loan must have a registered business either as a Sole proprietorship, Partnership, or a Limited liability company

Q. Is there an age limit for the federal government loan application?

A. Yes, there is an age limit applicants/promoters of the company applying for the federal government loan have to be 18 years and above.

Q. How long will it take from when I apply to when I get the federal government loan?

A. This is dependent on your bank; however, the federal government loan is typically expected to take 2 weeks to be disbursed.

Q. Can I apply with different companies?

A. No, multiple applications for the federal government loan will be disqualified.

Q. What are the repayment terms?

A. Equal and consecutive monthly repayment of principal and interest for the tenor of the federal government loan.

Q. How do I know the status of my application?

A. Applicants can check the status of their federal government loan application by logging into their profile. Once their federal government loan application has been forwarded to their banks for processing, they should follow up with their banks for updates.

Q. Can I reapply for the federal government loan if my application is rejected?

A. You may be able to reapply for the federal government loan if the reason for the rejection is a minor issue. You will be notified of the rejection and advised to provide additional information.

Q. When is the deadline for the submission of federal government loan applications?

A. The deadline for the federal government loan application will be communicated later.

Q. How do I access the federal government loan?

Apply for the federal government loan through the provided website www.fedgrantandloan.gov.ng while disbursement of the federal government loan will be done by your bank if the applicant meet the eligibility criteria.

Eligible applicants for the federal government loan who meet the selection criteria will be shortlisted.