The Nigerian Consumer Credit Corporation (CrediCorp) has signed a Memorandum of Understanding (MoU) with the National Youth Service Corps (NYSC) that would empower corps members with credit facilities of up to N200,000 per individual.
Tagged ‘YouthCred’, it will see eligible Corps Members accessing up to N200,000 single-digit interest loan.
Speaking at the signing of the MoU between CrediCorp and NYSC in Abuja on Wednesday, Managing Director/Chief Executive Officer of CREDICORP, Engineer Uzoma Nwagba, said N9billion has been earmarked for the first phase of the programme.
According to him, the programme was 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 commence.
Engr Nwagba noted that the first phase of YouthCred focuses on NYSC members, who will be required to complete a short digital credit education programme before becoming eligible for the credit facility.
The loans, he explained, were intended to support a range of needs, including relocation, purchase of work tools or devices, skills training, and funding for small businesses.
Describing the Corps as a ‘National gold mine for credit reorientation’, the CrediCorp MD assured that both bodies would ensure that YouthCred is 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 to smaller amounts after completing its credit education scheme, and would access larger sums of up to N200,000 per Corps Member after paying up previous loan.
“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.
He also urged Corps Members to take full advantage of the opportunity, adding that financial discipline and timely repayment would be critical to the sustainability and expansion of the scheme.
Responding, the Director-General of the NYSC, Brigadier General Olakunle Nafiu, lauded President Tinubu for commencing the programme with the Scheme.
Describing the MoU signing as epoch-making, the NYSC DG noted 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.
Brigadier General Nafiu emphasised that many Corps Members possess innovative ideas and business acumen but are often hindered by lack of access to startup capital. He noted that with YouthCred, these young Nigerians now have a platform to kickstart their ventures and acquire essential tools that would make them more productive during and after their service year.
He further assured that the 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.
“I am glad and I want to thank the MD/CEO of CrediCorps and his staff for this initiative and partnership. I particularly would like to appreciate His Excellency, Mr President for having the Nigerian youths at heart. And driving this initiative.
“It shows that Mr President is committed to this. And he’s passionate about this. We are glad that we are recognized at that level,” Brig. Gen. Nafiu stated.
