Are you one of the many households or businesses negatively affected by the COVID-19 pandemic in Nigeria, and you need financial assistance to cope with the challenges and opportunities arising from the pandemic, you should consider applying for a loan from the CBN COVID-19 Targeted Credit Facility (TCF)?
The CBN COVID-19 Targeted Credit Facility (TCF) is a loan program for households and businesses adversely impacted by the COVID-19 pandemic.
Read on and increase your chances of being a beneficiary
About CBN COVID-19 Targeted Credit Facility (TCF)
The TCF is an initiative of the Central Bank of Nigeria (CBN) and the NIRSAL Microfinance Bank (NMFB), a subsidiary of the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL).
The program is intended to provide financial relief and support the economy’s recovery from the pandemic’s negative impact.
The TCF offers a range of loan products and services to suit the needs and preferences of different households and businesses.
Whether you are a salary earner, a trader, an artisan, a creative, or an entrepreneur, there is a loan for you.
TCF Loan Products and Services
The TCF has several loan products and services that cater to the needs of various households and businesses in Nigeria.
Some of these include:
1. TCF Household Loan
The TCF Household Loan is a loan product that targets households that need funds to cope with the challenges posed by the COVID-19 pandemic.
The loan aims to help households to meet their essential needs, such as food, rent, medical bills, and education.
Some of the features of the TCF Household Loan are:
- The loan amount is up to N3 million per household, with no collateral required.
- The interest rate is 5% per annum, with a moratorium of 1 year and a tenor of up to 3 years.
- The loan can be used for various purposes, such as salary payment, inventory purchase, rent payment, and debt servicing.
To be eligible for the TCF Household Loan, you must:
- Be a Nigerian citizen or a resident of Nigeria.
- Have verifiable evidence of livelihood adversely impacted by COVID-19.
- Have a bank verification number (BVN) and a valid identification.
- Have a business plan and a cash flow projection.
- Have a good credit history and a satisfactory guarantor.
To apply for the TCF Household Loan, you need to visit the NMFB website and fill out the online application form.
You will also need to provide some documents, such as your BVN, bank statement, and evidence of COVID-19 impact.
2. TCF SME Loan
The TCF SME Loan is a loan product that targets small and medium enterprises (SMEs) that need funds to start, grow, or improve their businesses.
The loan aims to help SMEs take advantage of the opportunities arising from the COVID-19 pandemic, such as increased demand for local products, new markets, and innovation.
Some of the features of the TCF SME Loan are:
- The loan amount is up to N25 million per SME, with no collateral required.
- The interest rate is 5% per annum, with a moratorium of 1 year and a tenor of up to 3 years.
- The loan can be used for various purposes, such as equipment purchase, working capital, expansion, and modernization.
Read full article on: 10 Government Loans Available This Month
To be eligible for the TCF SME Loan, you must:
- Be a Nigerian citizen or a registered business entity in Nigeria.
- Have a viable business idea or an existing business in any sector of the economy except oil and gas.
- Have verifiable evidence of business activities adversely affected by COVID-19.
- Have a bank verification number (BVN) and a valid identification.
- Have a business plan and a cash flow projection.
- Have a good credit history and a satisfactory guarantor.
To apply for the TCF SME Loan, you need to visit the NMFB website and fill out the online application form.
You will also need to provide some documents, such as your business registration certificate, tax clearance certificate, bank statement, and evidence of COVID-19 impact.
Benefits of TCF Loans
The TCF loans offer several benefits to households and businesses in Nigeria, such as:
1. Access to finance
The TCF loans provide households and businesses the funds to cope with the challenges and opportunities arising from the COVID-19 pandemic.
The TCF loans have flexible terms and conditions, such as low interest rates and minimal collateral requirements, that make them accessible to households and businesses.
2. Financial relief
The TCF loans also provide households and businesses with financial relief from the economic and social effects of the COVID-19 pandemic.
The TCF loans help households and businesses meet their essential needs, such as food, rent, medical bills, and education, and pay off their debts and obligations.
3. Economic recovery
The TCF loans also support the recovery of the economy from the negative impact of the COVID-19 pandemic.
The TCF loans help households and businesses resume their normal activities, such as production, distribution, and consumption, and create more jobs and income for themselves and others.
Conclusion
As businesses and individuals grapple with unprecedented challenges, the TCF offers financial support, providing vital resources to sustain operations, safeguard jobs, and stimulate economic recovery.
Through this initiative, the CBN demonstrates its commitment to supporting the resilience and growth of Nigeria’s economy, even in the face of adversity.
As the TCF becomes accessible this month, we have shared some of the TCF loans available in Nigeria, their features, eligibility criteria, application process, and benefits.
We encourage eligible businesses and individuals to take advantage of this opportunity to navigate these challenging times and emerge stronger on the other side.
Good luck!
