How To Get N10m CBN Collateral-Free Loan

The Central Bank of Nigeria (CBN), in support of government’s policy to promote agricultural businesses, micro, small and medium enterprises (MSMEs) for economic development and employment generation, introduced the Agric-Business/Small and Medium Enterprises Investment Scheme (AGSMEIS).

The objectives of the scheme, which gives collateral free loans of up to N10,000,000 to small businesses, are as follows:

  • To improve access to affordable and sustainable finance by Agri-businesses, Micro, Small and Medium Enterprises (MSMEs).
  • Create employment opportunities.
  • Boost managerial capacity in agri-businesses and MSMEs, and grow them in line with the Federal Government agenda to develop the real sector and promote inclusive growth.

The sectors currently covered by the scheme include:

  • Businesses in the entire agriculture value chain, including production, inputs supply, storage, processing, logistics and marketing.
  • MSMEs in the real sector, including manufacturing, mining and petrochemicals.
  • MSMEs in the service sector, including information and communication technology (ICT) and the creative industry.

The scheme provides financing for start-ups, business expansion or revival of ailing companies. The terms of its loans are as follows:

  • Loan limit: N10,000,000.
  • Interest rate: Five percent per annum.
  • Tenor: Up to Seven years, depending on the nature of the project.
  • Moratorium: Maximum of 18 months for principal and Six months on interest.

Applicants for loans under the scheme are required to satisfy the following conditions:

  • Submission of duly completed application form.
  • Bank Verification Number (BVN).
  • Certificate of Training from a CBN-approved Entrepreneurship Development Centre (EDC) or evidence of membership of an organised private sector association.
  • Letter of Introduction from a Clergy, Village Head, District Head, Traditional Ruler, Senior Civil Servant, in cases of individuals and micro enterprises.
  • Evidence of registration of Business Name or Certificate of Incorporation and, where applicable, filing of annual returns with the Corporate Affairs Commission (CAC), as prescribed by the Companies and Allied Matters Act (1990).
  • Tax Identification Number (TIN) and current Tax Clearance Certificate (TCC), where applicable.

Prior to accessing the facility, owners of Micro, Small and Medium Enterprises are required to successfully complete a one-week training with a CBN-approved EDC, which will receive their loan applications. The EDCs will collate, appraise and submit the applications to the CBN, which will invite applicants for interviews, approve and disburse the loans through applicable financial institutions.

The training by the EDCs under the AGSMEIS scheme are in the following areas:

  1. Agriculture and Agro-allied Processing.
  2. Art and Entertainment.
  3. Automobile Services.
  4. Fashion and Dressmaking.
  5. Catering and Event Management.
  6. Courier and Delivery Services.
  7. Creative Industry.
  8. Apparels and Textiles.
  9. Information Communication Technology.
  10. Cottage Industry.
  11. Media.
  12. Publishing.
  13. Telecommunications.
  14. Hospitality.
  15. Health Services.
  16. Welding and Fabrication.
  17. Animal Husbandry.
  18. Cosmetics, Beauty and Makeup Artistry.
  19. Electrical and Electronics.
  20. POP and Tiling.
  21. Carpentry.
  22. Masonry.
  23. Kerbs and Electric Pole Making.
  24. General Management (in above areas).
CBN-approved EDCs, with their addresses, include the following:


1. CBN-EDC, Ibadan (South West)

Oodua Skill Acquisition Centre

Samonda, Sango-UI Road,

Ibadan, Oyo State.

2 CBN-EDC, Port Harcourt (South South)

30 Trans-Woji Road, Grace Plaza

By Slaughter Bridge, Woji Town,

Port Harcourt, Rivers State.

3. CBN-EDC, Maiduguri (North East)

Old Informatics Institute

Njimtillo, Kano Road

Maiduguri, Borno State.

4. CBN-EDC, Kano (North West)

Murtala Muhammed Library Complex

Kano, Kano State.

5. CBN-EDC, Makurdi (North Central)

Off Jonah Jang Crescent

Near Federal Secretariat

Makurdi, Benue State.

6. CBN-EDC, Minna (North Central)

Minna Innovation Institute

Behind Niger State Sharia Commission

Justice Ndajiwo Drive

Minna, Niger State.

7. CBN-EDC, Enugu (South East)

Ebenezer Villa Suite

8, Ogenyi Close, Off Cornerstone Avenue

Off Nike Lake Resort Road

Enugu, Enugu State.

8. Centre for Entrepreneurial Development

36, Murtala Mohammed International

Airport Road


9. Lagos Business School

Pan Atlantic University

Lekki-Epe Expressway

Ajah, Lagos.

10. Fate Foundation

Lagos State Water Corporation

Water House HQ,

Ijora Causeway



11. House of Tara

13a Onikepo Akande Street

Lekki Phase I


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