The Central Bank of Nigeria (CBN) and the Bankers’ Committee created a loan scheme for those in the creative industry called the Creative Industry Financing Initiative (CIFI).
According to the apex bank, the loan scheme would disburse a total of N500 million to beneficiaries, with a nine percent rate attached.
It noted that beneficiaries of the CIFI will be individuals in sectors such as information technology (IT), movie distribution, fashion, music and software engineering, film making.
“Software engineering student can get a loan of up to N3m, N30m for movie production business, N500m for movie distribution business, cover your rental/service fees for fashion and Information Technology business, cover your training fees, equipment fees, and rental/service fees for music business,” the CBN said.
How To Apply For The CBN Loan For The Creative Industry
You will need to have a business plan or statement on how much you want ready.
After that, your application is to be submitted to your bank for approval and payment.
How Much Loan Each Creative Sector Gets
Film makers: N30 million
Software engineering students: N3 million.
Movie distributors: N500 million.
Fashion and Information Technology: rental/service fees will be covered.
Music business: training fees, equipment fees, and rental/service fees are covered.
To get access to the fund, all you need to do is visit any bank of your choice and say how much is required.
Following that, you will be told what to do and if you will get the money.
You get to pay an interest rate of 9.0 percent per year (all charges inclusive).
How Long It Takes To Pay Back the Loan
- For those in the fashion, Music, and Information Technology industry, it takes a total of ten years to repay the loan.
- For individuals in movie production and distribution, you will be expected to pay back the loan in ten years.
- Software engineering students are expected to pay back the loan in three years.
Documents You Need
A Business plan.
3 Years financial projection.
The economic benefit of your business plan.
Statement of Affairs for start-ups and companies with less than 3 years of existence.
Certificate of Incorporation. R.C
A 3-year audited accounts for already-exsiting companies.
Brief on directors.
Tax Identification Number (TIN)
Copies of duly executed offer documents between the bank and loan applicants.
Proposed schedule of fund disbursement and repayment.
CBN Intervention(s) which the project is currently benefiting from.
Minimum Equity Contribution-30% of total project cost.
Previous /Current Management Position.
Outstanding Amount(s) in respect of 12 above.
2 Credit Reports for the company and each Director.
You can visit www.cbn.gov.ng for more information.