How to apply for CBN Agric Small and Medium Enterprise Scheme (AGSMEIS) loan

In this post, you will learn how to apply for the CBN AGSMEIS loan in Nigeria.

CBN AGSMEIS loan application for 2021 is still ongoing, and we are here to show you how to apply for the loan. With AGSMEIS, you can access up to N10 million loan from CBN. The interest rate is just 5% without collateral.

Before we proceed to show you how to apply for CBN AGSMEIS loan, let’s give you more clarifications by answering some pressing questions.

About AGSMEIS?

Agric Small and Medium Enterprise Scheme (AGSMEIS) is an initiative of the Central Bank of Nigeriain in a bid to complement the Federal Governments’ efforts at promoting Agric businesses in Nigeria (both small and medium enterprises) as a vehicle for sustainable economic development. The schem is a voluntary initiative of the Bankers’ Committee which was approved at its 331st meeting held on on February 9, 2017.

The scheme mandated all banks in Nigeria to set aside 5% of their anual profit after tax (VAT). The primary aim of the initiative is to support the government’s efforts and policy measures toward promotion of Agric businesses in the country.

What is the aim of Agric, Small and Medium Enterprise Scheme (AGSMEIS)?
The objectives of the scheme are to ensure;

• Small and medium enterprises have access to finance.
• Create employment opportunities in Nigeria.
• Development of agricultural value and sustainable agric practices.
• Boost the managerial capacity of Agric businesses for national development.

List of sectors eligible for CBN AGSMEIS loan

CBN MSMEs eligible sectors include;

• Agricultural businesses
• Health
• ICT,
• Education
• Manufacturing/Production,
• Services (Hospitality, Restaurants Catering, Services)
• Mining,
• Creative Industry (Fashion, Design, Crafts, Entertainment)
• Others

CBN AGSMEIS Loan Conditions

Here are conditions that must be met begore you can access CBN AGSMEIS;

• Applicant must have been trained by an Entrepreneur Development Institute (EDI)
• Must apply for the loan through EDI, and from there the applications will be sent to CBN for processing.
• Applicants will be called for an interview regarding his/her business, and those qualified will be contacted and given the loan.

Requirements for CBN AGSMEIS loan

Below are the loan requirements for approval and disbursement of funds to applicants;

• Business must be registered with Cooperate Affair Commission (CAC).
• Must privide evidence of tax payments
• Bank Verification Number (BVN)
• Letter of Introduction
• Valid government issued ID card
• Certification by an EDI
• Passport photo of applicant and guarantor
• Letter of Guaranty

Who can write letter of introduction for CBN AGSMEIS loan?