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How to Apply for The CBN AGSMEIS Loan For SMEs | 2022

The Central Bank of Nigeria, CBN, has over the years introduced one loan or the other for everyday businesses, agricultural businesses, small scale business, large scale enterprises, entrepreneurs, entrepreneurial activities and as much as you can think of. These loans are not just aiding Nigerians but are gradually reducing unemployment and making life easier in Nigeria.

What is the CBN AGSMEIS Loan for SMEs?

The CBN AGSMEIS loan is an initiative set out to help small and medium enterprises that are just beginning or are facing financial problems. AGSMEIS stands for Agri-Business / Small and Medium Enterprise Investment Scheme and it is designed to assist and promote agricultural businesses, and Small and Medium Enterprises with loans. These loans are issued out by the Central Bank of Nigeria without any collateral demanded.

Are you more interested in Entrepreneurial loans? Then you should check out this article:

What businesses are Eligible for the CBN AGSMEIS Loan for SMEs?

As earlier mentioned, the CBN AGSMEIS Loan is designed for agricultural businesses and small / medium enterprises. This implies that these businesses must come from the following industries;

  1. The Agricultural sector. This covers any business that is agriculture related from crop production and animal husbandry to storage, packaging and logistics.
  2. The Real Sector including Manufacturing, Mining, Petrochemicals and the like.
  3. The Service Sector. Here we have Information and Communication Technology, Robotics, and other technology – related fields.
  4. Creative Industry. This consists of arts and crafts, Fashion designing, hair dressing, cosmetology etc.
  5. Others. Some businesses not listed above may be approved for the loan, so do not be discouraged.

Did You Know with loans like the CBN AGSMEIS Loan for SMEs you can set up an Energy – Tech business? Click here to learn more.

Terms and Conditions of the CBN AGSMEIS Loan for SMEs

Amount: The Central Bank of Nigeria is willing to loan up to N10 Million for SMEs and Agribusinesses.

Methodology: The CBN AGSMEIS Loan for SMEs is set out for individual, group and corporate businesses established for interested Nigerians.

Rate: The CBN loan has a single digit interest rate of 9% per annum.

What Documents and Information are required for the CBN AGSMEIS Loan for SMEs

The documents and info requested are;

  1. A completed application form for the CBN AGSMEIS Loan for SMEs.
  2. Your Bank Verification Number (BVN).
  3. Certificate of Entrepreneurial training from a recognized Entrepreneurship Development Institution or provide evidence of membership of organized private sector.
  4. A reference letter from any respectable and recognized office. For example, a Clergy, Village Head, Traditional ruler, District Head, etc. This reference letter is only required for individual or micro enterprises.
  5. Evidence of business registration.
  6. Tax identification number (TIN) and your Tax Clearance Certificate should be provided also.
  7. Any other means of identification, such as your National ID, International Passport, Driver’s license, or Voters card.

How to Apply for the CBN AGSMEIS Loan for SMEs

STEP ONE

Register for Entrepreneurship Development classes under a CBN certified training center such as the Entrepreneurship Development Institute (EDI) and receive the certificate issued. The EDI is spread along the country and should be easy to locate.

STEP TWO

Apply for the CBN AGSMEIS Loan for SMEs. The EDI usually helps loan seekers in this stage. They ensure that your application is backed up with the right documents.

STEP THREE

Receive your requested loan fund. This fund is usually paid into the account indicated during the process of application.

STEP FOUR

Ensure you follow your business plan and make good use of your funds. The EDI also steps up in helping you achieve this feat.

Thanks for checking out this One Smart Way to apply for the CBN AGSMEIS Loan for SMEs. Please share and leave your questions and thoughts in the comment section.

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