AGSMEIS CBN Loan Application 2023 – Apply Registration


AGSMEIS CBN Loan Application 2023 – Apply Registration

AGSMEIS CBN Loan promises provides one of the cheapest loan to farmers, a loan that comes way cheaper than what you get from commercial bank.

At 9% interest rate, AGSMEIS CBN Loan is definitely a loan that has the best interest of farmers at heart. Under the package a farmer can get access to 10 million naira .

This article helps you with detailed guide on AGSMEIS CBN Loan, how to process your loan application and lots more.

With these in mind, let’s get started

What is AGSMEIS?

AGSMEIS is an abbreviation of Agri-Business/Small and Medium Enterprise Investment Scheme. Its a brainchild of the the Central Bank of Nigeria.

The federal Government is now more concerned about food self sufficiency, despite challenges that are facing the country, they are making funds available to the eligible farmers through CBN.

How They Generate The Funds For The Scheme?

AGSMEIS CBN Loan is a public, private driven idea, commercial banks are asked to make little contribution of about 5% or thereabout. This 5% is usually deducted after tax annually, making it convenient for the bank.

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Who is eligible for application?

AGSMEIS loan is a loan that targets farmers of Agri-business/Small and Medium enterprises.
This is not a loan for only farmers

Just like we said, the loan is an idea of the federal government and it was provided to help drive and support the Federal Government’s efforts and policy towards the promotion agricultural based businesses.

This makes it a loan for farmers and those who deals on agricultural products.

How does the scheme work?

Step 1 – the first stage is the training stage, what happens here is that participant or those who are interested in the loan need to get a compulsory training with a CBN certified Entrepreneurship Development Center (EDC).

Step 2 -you can’t just apply for the loan your self, you need the help of the Entrepreneurship Development Institute (EDI) , their work is simple and straightforward, they help you with relevant documents and paperwork that will enable you secure the loan.

Step 3 – if you are qualified for the loan, your account should be credited within some weeks. As for those who aren’t qualified based on their criteria, they should receive a mail informing them about their status.

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Step 4 – you are not alone but the Entrepreneurship Development Institute is there to provide assistance to you which will help you in getting it right at the business implementation stage.

Step 5 – at this time you should have started making sales, making more profit from sales, and also keeping a portion of the money realised from sales for repayment purposes.

Step 6 – the Loan must be repaid, its no free money. Just ensure you monitor your sales, keep track of sales, implement good business strategies to maximise your profit.

When exactly will I receive the funding?

The application is not automatic, once you applied your loan request will be looked into but be rest assured that you are going to receive your loan after approval in just sixth to eight weeks

Prerequisites you must meet up to before getting access to the AGSMEIS loan.

Receiving training from Entrepreneur Development Centre (EDC) is necessary for applicant just like we said, here is what you should need more:

Be present at the interview, this is where applicant will be asked questions about their business, responses will be gotten from you, so you need to know more about your business and prepare your self to answer questions that will be thrown at you.

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Fill a form in details which the same Entrepreneur development center will validate.

Requirements you must meet up to before you get payment of the fund

Before your application will be granted, There are a few things that they are likely to ask and know from you before you can get the AGSMEIS loan funds. They are:

  • You are expected to register your business with CAC
  • You should have an Evidence of your tax payment
  • A valid Letter of Introduction
  • Your BVN
  • A letter of guaranty
  • Certification from the Entrepreneur Development Centre (EDC)
  • An ID card
  • Your guarantor and your passport photographs.

Since you will need someone to write the letter of introduction for you, you can give it to:

  • Clergy leader
  • Local government or community chairman
  • Heads of communities
  • Managing directors of blue-chip companies and senior civil servants that have gotten to level 14 and above.

However, for your letter of guaranty, you can give it to someone close to you.

How to Apply

There is only one application link provided for the AGSMEIS loan and here it is :

Conclusion: AGSMEIS loan

You now have the necessary details to apply for this loan. Why not give it a try and improve your business capacity.