NIRSAL re-opens covid-19 loan application, a credit targeted facility where one can access up to twenty-five million naira (#25m).
Thousands of beneficiaries have enjoyed from this stimulus package from the Central Bank of Nigeria. The package which originally is designed to support households and micro, small, and medium enterprises affected by the COVID-19 pandemic.
The Coronavirus Disease (COVID-19) pandemic has led to unprecedented disruptions to global supply chains, sharp drop in global crude oil prices, turmoil in global stock and financial markets, massive cancellation of sporting and entertainment event, lockdown of large swaths movements of persons, in many countries, and intercontinental travel/bans restrictions across critical air routes across the world.
These outcomes have had severe consequences on households’ livelihoods and business activities, resulting from drop in global demand, declined consumer confidence and slowdown in production.
In this respect, the Central Bank of Nigeria (CBN) introduced the N50 billion Targeted Credit Facility (TCF) as a stimulus package to support households and micro, small and medium enterprises (MSME) affected by the COVID-19 pandemic.
You can refer to our previous article where all the details and secrets of applying and getting approval for the covid-19 loan application was fully exposed via this link here : OGACEO ARTICLE ON THE covid-19 loan application.
Who is eligible?
Households with verifiable evidence of livelihood adversely impacted by COVID-19.
Existing enterprises with verifiable evidence of business activities adversely affected as a result of the COVID-19 pandemic.
Enterprises wit bankable plans to take advantage of opportunities arising from the COVID-19 pandemic.
How it works?
Step 1 – Submit an Application.
The process is easy. You can begin on your phone, your tablet, or your laptop. Submit applications directly t NIRSAL Microfinance Bank (NMFB) with clear evidence of the opportunity or adverse impact as a result of COVID-19 pandemic.
Step 2 – Approval.
NIRSAL reviews your covid-19 loan application and forward the application to the CBN for final approval.
Step 3 – Disbursement
CBN reviews applications and gives final approval for disbursement to NIRSAL Microfinance Bank.
The covid-19 loan application comes with an interest rate of 5% per annum.
Working capital will be for a maximum period of one year, with no option to rollover, term loans have maximum tenor of not than 3 years with at least one year moratorium.
HOW MUCH CAN I APPLY FOR?
Households can access for a maximum of N3 million. Loan amount to SMEs shall be determined based on the activity, cashflow and industry/segment size of beneficiary, subject to a maximum of N25 million.
Working capital shall be a maximum of 25% of the average of the previous 3 years’ annual turnover, (where the enterprise is not up to 3 years, 25% of the previous years’ turnover will suffice).