The Federal Government has announced plans to launch a new youth-focused consumer credit scheme that will empower over 400,000 young Nigerians starting from July 2025. President Bola Ahmed Tinubu announced during his Democracy Day address to the nation on Wednesday.
According to the President, the initiative is designed to support Nigerian youths, including members of the National Youth Service Corps (NYSC), by providing access to consumer credit. This system allows individuals to purchase essential goods and services and pay in instalments under favourable conditions.
“This July, we will launch a bold new initiative to empower 400,000 young Nigerians, including youth corpers, with consumer credit,” President Tinubu stated.
Credit Access to Boost Youth Productivity
The consumer credit initiative will be facilitated through the Nigerian Consumer Credit Corporation (Credicorp), which has already disbursed affordable loans to over 100,000 Nigerians within its first year of operation, including 35,000 civil servants. Beneficiaries have reportedly used the funds to acquire items such as vehicles, home appliances, and solar equipment, enabling them to improve their livelihoods.
With the upcoming youth credit program, the government aims to replicate this success by targeting underserved young Nigerians who often lack access to formal credit systems.
Overview of Available Credit Schemes
The credit will be distributed under different schemes tailored to various segments of the population. These include:
1. Credicorp Loan
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Target Beneficiaries: Employed youths, professionals, civil servants
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Purpose: Vehicle purchase, work tools, household essentials
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Job Opportunities: Rideshare drivers, barbers, electricians
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Application Link: Credicorp Portal
2. YouthCred Financial Empowerment Scheme
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Target Beneficiaries: NYSC members, unemployed youths, artisans
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Purpose: Business start-up capital, skill development tools
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Job Opportunities: Fashion designers, POS agents, mobile phone repairers
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Application Link: YouthCred Portal
3. CALM Fund
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Target Beneficiaries: Teachers, civil servants, general workers
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Purpose: Educational expenses, home improvement, family support
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Job Opportunities: Teachers, online tutors, administrative staff
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Application Link: CALM Fund Portal
How the Scheme Works
The credit programs will offer flexible payment structures with low-interest rates, allowing beneficiaries to make purchases and repay over time. Priority will be given to youth who demonstrate financial responsibility or business intent, even if they are not currently employed in the formal sector.
Applicants are expected to provide basic documentation, including identity verification (NIN), bank account details, and in some cases, business plans or proof of residence.
Timeline and Access
The application portal is expected to open officially in July 2025, with the rollout expected to be phased and transparent. The Federal Government has assured the public that only verified applicants will be eligible, and all programs will be monitored to prevent fraud and abuse.
Analysts React
Economic analysts have welcomed the announcement, describing it as a potential game-changer in boosting youth inclusion in the national economy.
“Access to affordable credit has long been a missing piece in Nigeria’s development puzzle,” said Ijeoma Nwosu, a Lagos-based economic analyst. “If implemented transparently, this program could unleash a wave of small-scale entrepreneurship and job creation among the youth.”
In Summary
The youth consumer credit initiative represents one of the most significant youth-focused economic empowerment programs announced in recent years. With implementation set for July 2025, the Federal Government is urging eligible Nigerians to prepare the necessary documents ahead of the rollout.
Frequently Asked Questions (FAQs)
Q: Is the credit a loan or a grant?
A: It is a consumer credit facility — a loan that allows you to buy now and pay later with flexible terms.
Q: Who qualifies for this credit?
A: The program targets youths, especially NYSC members and recent graduates, as well as civil servants and teachers through related schemes.
Q: What items can I buy with the credit?
A: Items such as laptops, home appliances, work tools, vehicles, solar kits, and more, depending on the scheme.
Q: When does the program begin?
A: Applications are expected to begin July 2025.
Q: Is collateral required?
A: Details on collateral requirements have not been released, but the process is expected to be youth-friendly and accessible.
