(YOUTHCRED officails. Photo by National Accord)
The YOUTHCRED for Entrepreneurs initiative, a nationwide credit program designed to promote 500,000 entrepreneurs nationwide and offer young business owners cheap funding, was introduced by the federal government on Wednesday, July 22.
Mr. Taiwo Oyedele, the Minister of Finance and Coordinating Minister of the Economy, unveiled the program at the Federal Ministry of Finance Auditorium in Abuja.
Its goals are to increase credit availability for Nigerians between the ages of 18 and 35 and promote economic growth through entrepreneurship.
Implemented by the Nigerian Consumer Credit Corporation (CREDICORP), the programme will offer loans ranging from ₦200,000 to ₦2 million through regulated financial institutions.
Oyedele explained that the initiative is designed to tackle long-standing financing challenges faced by young entrepreneurs by prioritising cash flow, repayment capacity and responsible credit behaviour over collateral and inherited wealth.
He noted that over 90 per cent of Nigeria’s micro, small and medium enterprises are micro-businesses run by individuals such as tailors, mechanics, caterers, ride-hailing drivers, fashion designers, content creators and young farmers.
According to him, many of these businesses remain locked out of formal lending systems because they lack incorporation documents, audited accounts and the collateral typically demanded by conventional financial institutions.
He said the YOUTHCRED initiative reflects the government’s commitment to building a more inclusive economy by ensuring young people have access not just to skills and ideas, but also to the financial resources needed to start and grow their businesses.
He added that expanded access to credit would drive innovation, generate jobs and strengthen Nigeria’s small business ecosystem.
However, he cautioned beneficiaries against viewing the facility as a grant, emphasising that the loans must be repaid to sustain the programme.
“Prompt repayment is essential for the sustainability of the programme and will allow more young entrepreneurs to benefit from it,” he said.
Also speaking at the event, the Minister of Budget and Economic Planning, Senator Abubakar Bagudu; the Minister of Youth Development, Ayodele Olawande; and the Minister of Women Affairs, Imaan Sulaiman-Ibrahim, described the initiative as a significant step toward promoting financial inclusion, boosting productivity and driving inclusive economic growth.
They also praised CREDICORP for its efforts in expanding access to consumer credit and digital financial tools, noting that the programme aligns with the Tinubu administration’s agenda of technology-driven empowerment and economic transformation.
The Managing Director and Chief Executive Officer of CREDICORP, Uzoma Nwagba, disclosed that the corporation has facilitated more than ₦47 billion in consumer credit for over 301,000 Nigerians over the past two years, with zero non-performing loans recorded.
He explained that the entrepreneurs’ initiative marks the third phase of the YOUTHCRED programme, following earlier interventions targeted at National Youth Service Corps members and employed youths.
He added that CREDICORP intends to increase the number of beneficiaries from 500,000 to one million before the end of the year.
“Hardworking young Nigerians deserve structured credit, not charity,” Nwagba said, adding that the programme was designed to support individuals driving Nigeria’s micro-enterprise sector and to encourage business growth through responsible lending.