FG launches YouthCred loan for young entrepreneurs, offers up to ₦2 million without collateral — how to apply

• The Federal Government has launched the YouthCred for Entrepreneurs initiative to support over 500,000 young Nigerian business owners.

• Eligible Nigerians aged 18–35 can access loans ranging from ₦200,000 to ₦2 million without traditional collateral.

• Applications are submitted through the official YouthCred portal and approved based on credit behaviour, cash flow, and repayment ability.

The Federal Government has launched the YOUTHCRED for Entrepreneurs initiative, a new loan scheme designed to help young Nigerians grow their businesses.

The programme is being implemented by the Nigerian Consumer Credit Corporation (CREDICORP) in partnership with the Federal Ministry of Finance.

It aims to provide affordable credit to young entrepreneurs who often struggle to access funding through traditional banks.

Under the scheme, eligible young Nigerians can access loans ranging from ₦200,000 to ₦2,000,000.

The Federal Government said the current phase targets more than 500,000 young entrepreneurs nationwide, with plans to reach up to 1 million beneficiaries before the end of the year.

Unlike many conventional loans, applicants do not need to provide traditional collateral, formally register their business, or submit audited financial accounts.

READ NEXT: FG opens applications for laptop and smartphone loans — see full list of requirements

CREDICORP will not directly disburse the loan funds to applicants. 

Instead, it acts as a guarantor and wholesale credit provider, while the actual loans are issued through regulated Partner Financial Institutions (PFIs), such as microfinance banks and fintech credit providers.

This means successful applicants will receive their approved loan through the selected PFI, which will also manage the disbursement and repayment process.

Before accessing loans on the YouthCred portal, applicants will also be required to complete a brief online digital credit literacy course regarding responsible borrowing habits. 

To qualify for the YouthCred loan, applicants must meet the following conditions:

• Be a Nigerian citizen aged 18 to 35 years.

• Own or operate a small business, micro-enterprise, or income-generating venture.

• Provide proof of business activity or cash flow.

• Show the ability to repay the loan.

The scheme is designed for young entrepreneurs in both the formal and informal sectors.

READ ALSO: Why Nigeria’s first female Neurosurgeon left for the U.S. and changed specialities

The initiative targets micro-enterprises and solo entrepreneurs, including:

• Tailors

• Ride-hailing drivers

• Fashion designers

• Content creators

• Mechanics

• Caterers

• Young farmers

CREDICORP said loan approval will not be based on inherited wealth or asset ownership.

Instead, applicants will be evaluated using:

• Individual credit behaviour

• Business cash flow

• Repayment capability

This means entrepreneurs with active business transactions and a good repayment record may have a better chance of approval.

Interested applicants can apply through the official YouthCred portal or submit an Expression of Interest online.

Follow these steps:

• Visit the official portal: Go to credicorp.ng/youthcred  or apply.credicorp-register.ng

• Submit your Expression of Interest: Fill in your personal details, age, state of residence, and business or employment information.

• Select a Partner Financial Institution: Choose from participating financial institutions listed on the platform, such as microfinance banks and credit lenders.

• Complete the assessment: Provide proof of business activity, sales or cash flow records, bank statements, and valid identification.

• Receive disbursement: If approved, the loan will be paid directly into your account with a structured repayment plan.

READ ALSO: NIHSA names 17 states at risk of flooding from July 21–27—see the full list

The Federal Ministry of Finance has clarified that the YouthCred initiative is not a grant or subsidy.

It is a repayable credit facility, and beneficiaries are expected to repay the loan according to the agreed schedule.

The ministry added that entrepreneurs who maintain a good repayment record may qualify for higher loan limits in future funding cycles.

The scheme is part of the Federal Government’s broader effort to expand financial inclusion, support small businesses, and encourage responsible borrowing among young Nigerians.