‘How to get SMEs, Agric loans at single digit in Nigeria’D

Due to the importance of Small and Medium Scale Enterprises (SMEs) contributions to the growth of the Nigerian economy, its drive of the financial inclusion, which is designed to create employment and economy development, the Central bank of Nigeria (CBN) has row out SME and Agric Loan an array of MSME banking solutions designed to meet dynamic business needs.
The loan facility will help to foster an enabling environment for the Agricultural sector, enhance national food security, and reduce the cost of credit in agricultural production and small and medium enterprise.

The facility includes; Commercial Agriculture Credit Scheme (CACS), Real Sector Support Facility and Micro SME Development.

The agricultural business owner can be a beneficiary of the CACS N200 billion Fund. This facility was established by CBN and the Federal Ministry of Agriculture is designed to fast track the development of the agricultural sector in Nigeria by giving loans support to businesses.

The loan interest rate is Single-digit of (9% all-in, max) and the fund is available till 2025. Nigerians can also get Real Sector Support Facility if they are start-up business or a large enterprise in need of expansion, the 300bn intervention fund established by the Federal Government is available to help the business grow. The Real Sector Support Facility scheme would terminate on December 31, 2030, with Long-tenured (up to 10 years).Who Can Apply for CACS
1. Medium or Large Scale Commercial Farms involved in the cultivation of crops, rearing of livestock, fisheries, etc.

2.Limited Liability Companies involved in agricultural production, storage, processing, marketing and enterprise development.

3. State Governments and the FCT (for on-lending/special intervention to small scale farmers).

4. Large Corporate (wholly owned by & Managed as Nigerian Private Ltd Liability Coy) with Min single obligor limit of N500m. this requirement for Real Sector Support Facility

Required Documents

To get the loan facility interested business owners should have the following documents:

1. Formal application for a Credit Facility.

2. Certificate of Incorporation.

3. Memorandum and Article of Association.

4. Board Resolution to Borrow.

5. Feasibility Study/Business Plan.

Where to apply for the loan:

Visit any commercial bank in Nigeria that offer Micro Small and Medium Enterprises Development Fund, Real Sector Support Facility and Commercial Agriculture Credit Scheme (CACS).

Also, you can visit any Agricultural Co-operative Societies by joining any All Farmers Association of Nigeria (AFAN); Youth Empowerment in the Agricultural Program (YEAP); FADAMA