Plans have been concluded towards ensuring that each member of the National Youth Service Corps (NYSC) gets N200,000 credit facility, as the scheme enters into a partnership with Nigerian Consumer Credit Corporation (CREDICORP).
Tagged, YouthCred, eligible corps members would be able to access up to N200,000 single-digit interest loan under the programme.
Speaking at the signing of a Memorandum of Understanding (MoU) between CREDICORP and NYSC on Monday, in Abuja, Managing Director/Chief Executive Officer of CREDICORP, Engineer Uzoma Nwagba, said N9billion had been earmarked for the first phase of the programme.
According to Nwagba, the programme is in fulfilment of President Bola Tinubu’s Democracy Day address on June 12, where he promised that a credit initiative targeting 400,000 Nigerians, including youth corps members, would be launched.
Nwagba stated the first phase of YouthCred focused on NYSC members, who will be required to complete a short digital credit education programme before becoming eligible for the credit facility.
He explained that the loan was intended to support a range of needs, including relocation, purchase of work tools or devices, skills training, and funding for small businesses.
Describing NYSC as a “National gold mine for credit reorientation”, the managing director assured that both bodies would ensure that YouthCred was an integral part of the NYSC scheme.
He said, “The heart of YouthCred is actually not just credit, but credit orientation that is teaching young Nigerians, especially as they are coming into the workforce, teaching them good credit habits, teaching them how to build a credit history, teaching them how to plan financially and borrow responsibly, and then ultimately also giving them credits that enables them to access goods and services.”
Speaking to reporters after the MoU signing, Nwagba explained that corps members would be eligible for smaller amounts after completing the credit education exercise, and would access larger sums of up to N200,000per corps member after paying up previous loans.
“Our first target for this is N9 billion. But like I said in the signing ceremony, the loans will grow, and the amounts will grow as the programme continues to gain adoption,” he added.
Director-General of NYSC, Brig. Gen. Olakunle Nafiu, lauded Tinubu for the facility.
Describing the MoU signing as epoch-making, Nafiu stated that the YouthCred programme will have a positive impact on both corps members and the NYSC scheme as a whole.
According to him, the initiative would not only enhance the financial independence of corps members but also contribute significantly to national development by fostering a culture of entrepreneurship and responsible credit use among Nigerian youth.
Nafiu emphasised that many corps members possessed innovative ideas and business acumen but were often hindered by lack of access to start-up capital.
He stated that with YouthCred, the young Nigerians now had a platform to kick-start their ventures and acquire essential tools that would make them more productive during and after their service year.
Nafiu assured that NYSC will collaborate fully with CREDICORP to ensure seamless implementation of the initiative, including integrating the credit education module into corps members’ orientation and training programmes.
Kuni Tyessi
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