The Federal Government of Nigeria proudly launches the Presidential Conditional Loan and Grant Scheme as a part of the Presidential Palliative Program.
This initiative aims to bolster financial growth in various sectors by providing accessible loans and grants to eligible businesses, including Nano businesses.
Interested parties can apply directly through the official portal, www.fedgrantandloan.gov.ng.
Who Can Apply for Federal Government Presidential Conditional Loan?
The following details about the sectors covered by the federal government loan, how you can qualify, and what makes this loan unique.
Additionally, find instructions on how to complete the loan application form and the process to apply.
This is a complete guide to assist you in accessing government financial support.
Target Sectors
The scheme targets a wide range of sectors:
- Traders: Retail marketers, corner shop owners, petty traders, and market men and women in open markets.
- Food Services: Food, fruits, and vegetable vendors.
- ICT: Business centre operators, battery chargers, recharge card vendors, call centre agents.
- Transportation: Wheelbarrow pushers, independent dispatch riders.
- Creatives: Makeup artists, fashion designers, dry cleaners.
- Artisans: Vulcanizers, shoemakers, painters, repairers.
Loan Eligibility and Features
For Loans up to 1M
- Eligibility Criteria: Existing businesses must be operational for at least one year, while startups require registration and specific financial documents.
- Security: Personal Guarantee and acceptance of BVN Covenant.
- Repayment: Monthly installment over 3 years.
For Manufacturers up to N1billion
- Eligibility Criteria: At least 6 months of business banking relationship and required documentation.
- Security: As required by the bank.
- Repayment term: Varies for asset and working capital financing.
Key Features
- Transparent and Efficient: Ensuring quick disbursement to deserving businesses.
- Digital Transformation: Easy access and application through smartphones, computers, and the official website www.fedgrantandloan.gov.ng
- Financial Literacy: Providing resources and training for effective fund management.
Federal Loan application Process
- How to Apply: Visit www.fedgrantandloan.gov.ng and submit your application. Disbursement is done by your bank upon meeting the eligibility criteria.
- Qualification Check: The eligibility criteria are clearly outlined on the website.
- Loan Terms: 36 months for MSMEs, 12 months for working capital, and 60 months for asset financing with a 6-month moratorium for the latter.
- Interest Rate: 9% per annum.
- Age Limit: Applicants must be 18 years or older.
- Processing Time: Typically 2 weeks, depending on the bank.
Repayment and Follow-up
- Repayment Terms: Monthly repayment of principal and interest.
- Application Status: Check your profile and follow up with your bank.
- Reapplication: Possible in case of minor issues in the initial application.
Conclusion
This Presidential Conditional Loan offers a significant opportunity for financial growth in Nigeria.
With its inclusive criteria and transparent process, it is an essential step towards empowering small and medium-sized enterprises across various sectors.
Eligible businesses are encouraged to apply today and take advantage of this remarkable initiative.
