The Central Bank of Nigeria published guidelines for the implementation of the Tertiary Institutions Entrepreneurship Scheme on Wednesday (TIES).
The CBN stated in the guidelines provided to InsightnaijaTV that the scheme was in accordance with the CBN Act, 2007 and in line with its policy measures to address rising youth unemployment and underemployment.
According to the apex bank, the scheme was developed in collaboration with Nigerian polytechnics and universities to harness the potential of graduate entrepreneurs (gradpreneurs) in Nigeria.
According to the guidelines, the scheme is intended to shift undergraduates and graduates away from the pursuit of white-collar jobs and toward a culture of entrepreneurship development for economic development and job creation.
According to the apex bank, the initiative aims to provide an innovative financing model that will create jobs, strengthen the entrepreneurial ecosystem, and promote economic growth and development.
TIES was created to improve access to finance for Nigerian undergraduates and graduates of polytechnics and universities with innovative entrepreneurial and technological ideas.
The guidelines specified that the scheme would cover innovative start-ups and existing businesses owned by Nigerian polytechnic and university graduates in agribusiness – production, processing, storage, and logistics; information technology – application/software development, business process outsourcing, robotics, data management; and entertainment.
Art, publishing, culinary/event management, fashion, photography, beauty/cosmetics, and science and technology – medical innovation, robotics, ticketing systems, traffic systems, renewable energy, and waste management are among the others.
The document stated that there would be two classes of participant, with tier 1 receiving N5m with a tenor of five years at five percent interests, (nine per cent ) as from March 2022 and moratorium of 12 months.
The document indicated that there will be two classes of participants, with tier 1 receiving N5 million with a five-year tenor at 5% interest (9%) as of March 2022 and a 12-month moratorium.
According to the statement, Tier 2 candidates might obtain up to N25 million on identical terms, with the obligor paying the CBN interest and principal repayments on a monthly or quarterly basis, based on the established cash flow cycle and in accordance with the authorized repayment schedule.
The scheme will offer awards to five top Nigerian polytechnics and universities with the greatest business pitches/ideas, with the winner receiving N150 million.
From second to fifth, the grants would be N120m, N100m, N80m and N50m, in that order.
