The Nigeria Youth Investment Fund (NYIF) has cited reasons why numerous applications for its loan were rejected. In addition, it also revealed that it disbursed loans worth a total of about N1.63 billion to 5,200 Nigerian youth.
The disclosure is contained in a recent update made available on the website of the Federal Ministry of Information and Culture, as seen by naijabusiness.com
According to the notice, total eligible applications approved stood at 6,054 out of which 5,200 disbursements were made, leaving the number of those that have been approved but yet to get disbursement at 854. The number of unqualified applicants for the batch stood at 721.
Commenting on why some applications were turned down, an advisory from the ministry cited the following reasons;
- Invalid or wrong contact details: Some applicants did not provide valid contact details for communication on further steps in the loan application.
- Existing loan: It was observed that some applicants had existing AGSMEIS or COVID-19 loan, a factor that disqualifies them from applying.
- Age: Some applicants were above the maximum age ceiling of 35 years. Such candidates were disqualified because they are above the age bracket for youth.
- Poor credit rating: Some applicants had poor credit history such as incidences of non-performing loan. This pus the applicants in a grave disadvantage.
- Invalid or wrong BVN: Recall that one of the most important requirements for the application is the Biometric Verification Number (BVN). Invalid or wrong BVN that fails to match the profile of the applicants automatically disqualifies such candidates.
Given the aforementioned reasons, it is imperative for prospective applicants to watch out for some of these mistakes and avoid repeating them in subsequent applications. Additionally, NYIF used the medium to remind beneficiaries and applicants that the monies disbursed are not grants, rather repayable loans.
Meanwhile, the recent disclosure also revealed that another batch of 25,000 youth has been pre-qualified for training ahead of final clearance for disbursement. The Ministry disclosed that it is presently consulting widely with other partners and stakeholders in a bid to expand the scheme and fast track easy access to the fund.
Recall that Nigerian Youth Investment Fund was set up by the Federal Government of Nigeria on 15th of October, 2020. The N75 billion fund was set up with the motive of investing in innovative ideas, skills and talents of the Nigerian youth.
Naijabusiness.com.ng gathered that only N3 billion has been provided by the CBN out of the N12.5 billion earmarked for the first tranche of the NYIF. Of this N3 billion, 54.6% has been disbursed so far.