CREDICORP Launches YouthCred for Young Entrepreneurs, Offers Up to ₦2 Million Business Credit

CREDICORP Launches YouthCred for Young Entrepreneurs, Offers Up to ₦2 Million Business Credit

The Nigerian Consumer Credit Corporation (CREDICORP) has launched the third phase of its YouthCred programme, introducing a new credit initiative for young entrepreneurs that provides access to loans of up to ₦2 million, alongside mandatory financial literacy training aimed at promoting responsible borrowing and business growth.

The Nigerian Consumer Credit Corporation (CREDICORP) on Wednesday launched YouthCred for Entrepreneurs, the third phase of its flagship YouthCred programme, extending structured consumer credit to young business owners across Nigeria.

The programme, unveiled at the Federal Ministry of Finance Auditorium in Abuja, is designed to provide working and growth capital to entrepreneurs aged between 18 and 35, enabling them to expand their businesses while building a formal credit history.

The launch completes the three-phase rollout of the YouthCred initiative announced by President Bola Ahmed Tinubu during his Democracy Day address. The programme began with National Youth Service Corps (NYSC) members before expanding to employed young Nigerians and now entrepreneurs.

According to CREDICORP, more than 51,000 corps members participated in the pilot phase, while over 30,000 young Nigerians have completed credit education and accessed financing under the scheme.

Unlike conventional business loans that often require company registration, audited financial statements and collateral, YouthCred for Entrepreneurs targets individuals operating micro, small and medium enterprises (MSMEs), recognising that the majority of Nigerian businesses are run in the names of their owners rather than as registered corporate entities.

Eligible entrepreneurs can access loans of up to ₦2 million, with approval based on factors such as credit education, affordability and repayment capacity rather than traditional collateral requirements.

CREDICORP said every beneficiary must complete a structured financial education programme before accessing credit. The training covers budgeting, responsible borrowing, repayment obligations and credit management, helping participants establish a sustainable financial identity.

The corporation explained that the initiative is being implemented through a partnership involving the Federal Ministry of Finance, which provides policy oversight, CREDICORP, which supplies funding and credit infrastructure, and participating financial institutions responsible for loan processing, disbursement and business support.

It added that safeguards, including affordability assessments and transparent lending procedures, have helped maintain a non-performing loan (NPL) rate of zero across its current portfolio.

Speaking at the launch, the Honourable Minister of Finance, Taiwo Oyedele, said the initiative fulfils President Tinubu's commitment to providing structured credit opportunities for young Nigerians.

He said the programme had now covered corps members, employed youth and entrepreneurs, adding that it would help unlock the growth potential of young businesses nationwide.

Also speaking, CREDICORP Managing Director and Chief Executive Officer, Uzoma Nwagba, said the initiative was designed to provide structured credit to hardworking entrepreneurs rather than financial handouts.

According to him, because over 90 per cent of Nigeria's MSMEs operate in the names of individual owners, the credit product was intentionally structured around individuals rather than registered business entities.

Wema Bank has been selected as the pilot Partner Financial Institution (PFI) for the entrepreneurs' phase and began onboarding applicants during the launch. CREDICORP said the network of partner institutions would gradually expand to markets, trade associations and cooperative societies across the 36 states and the Federal Capital Territory.

The corporation disclosed that it has so far disbursed over ₦47 billion to more than 301,124 beneficiaries through its various credit programmes nationwide.

Young entrepreneurs interested in the programme can apply by completing the required credit education module and eligibility assessment through the YouthCred application portal or by visiting participating financial institutions as the nationwide rollout progresses.

For more information, visit www.credicorp.ng