CBN Tertiary Institutions Entrepreneurship Scheme – All you need to know

Tertiary Institutions Entrepreneurship Scheme wey CBN Launch

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Central Bank of Nigeria don release new guideline for di Tertiary Institutions Entrepreneurship Scheme (TIES) wey dem tier-rubber to solve di palava of unemployment.

According to one statement from CBN, dem introduce di scheme as part of dia policy measures to address rising youth unemployment and underemployment.

Di aim of di scheme na to help access to finance for undergraduates and graduates of polytechnics and universities inside Nigeria with innovative entrepreneurial and technological ideas.

Areas wey di Scheme go Focus on

Activities wey di scheme go focus on include innovative start-ups and existing businesses wey belong to graduates of Nigerian polytechnics and universities for di following areas:

  • Agribusiness– production, processing, storage and logistics
  • Information technology– application/software development, business process outsourcing, robotics, data management
  • Creative industry– entertainment, artwork, publishing, culinary/event management, fashion, photography, beauty/cosmetics;
  • Science and Technology– medical innovation, robotics, ticketing systems, traffic systems, renewable energy, waste management

Plus any oda activity wey CBN feel say dey okay to add from time to time.

Meanwhile, dem design dis scheme to implement am through three components – term loan component; Equity investment component and Developmental component.

Wetin di Term Loan dey about And di Requirement

Tertiary Institutions Entrepreneurship Scheme wey CBN Launch

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Graduates of Nigerian polytechnics and universities dey eligible to participate under Term Loan Component

Applicant must must be graduates of Nigerian polytechnics and universities within di past 7 years with entrepreneurial interest.

Dem fit apply online through di online portal wey CBN provide and dem need to provide di required information and documents like;

  • Valid mobile phone number wey dey (linked to your NIN), BVN, NIN, TIN and email address;
  • Evidence of business registration (certified true copies of relevant CAC documents)
  • Corporate bank account number of business
  • Get first degree certificate (BSc/HND/ or equivalent
  • Get National Youth Service Certificate (NYSC) discharge or exemption certificate
  • Certificate of Participation issued by polytechnics and universities wey show proof of entrepreneurship training.

Di term loan dey classify into two tiers; di first tiers get loan limit of N5.0 million, while di second tiers get N25.0 million.

Both get tenor na 5 years and interest rate of 5% per annum (9% effective from March 1, 2022 or as CBN want am) and Moratorium na 12 months.

Wetin Equity Investment Component dey about

Woman wey dey sell lace

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Di Equity Investment Component go be in form of injection of fresh capital for start-ups, expansion of businesses wey don already dey establish or reviving of business wey dey fall.

  • Dem go implement dis component under di AgSMEIS Equity window, so di application for participation under dis na through submission for website wey CBN provide.
  • Di investment limit go dey subject to di limit wey dey according to AgSMEIS Guidelines
  • Investment period for dis component na maximum period of ten years (e no go pass December 31, 2031).
  • E go get 3-year lock-in period before e go end, to fit encourage value creation and boost managerial capacity of businesses.

Wetin di Developmental Component dey all about

Dem go share di Developmental Component in form of grants to Nigerian polytechnics and universities for di national biennial entrepreneurship competition.

  • Nigerian polytechnics and universities go compete to raise awareness and visibility of entrepreneurial/technological ideas among undergraduates during di competition.
  • Di process to participate under di Development component go be through submitting of application for di website wey CBN provide.
  • Experts go come evaluate di entrepreneurial and technological innovations wey di Nigerian polytechnics and universities submit, then di top 5 go get di grant prize wey be;

First place – N150.0 million;

Second place – N120.0 million;

Third place – N100.0 million;

Fourth place – N80.0 million; and

Fifth place – N50.0 million.