Micro, Small and Medium Enterprises Development Fund (MSMEDF)

MSMEDF | FAQ on MSMEDF | MSMEDF Guidelines

Frequently Asked Questions on MSMEDF

  1. How Can I (Or My Company) Access The MSMEDF?
  2. What categories of entrepreneurs can apply for the Fund?
  3. Deposit Money Banks
  4. Bank of Industry (BOI)
  5. Bank of Agriculture)
  6. Who are the Participating Financial Institutions?
  7. Microfinance Banks
  8. NGO-Microfinance Institutions
  9. Finance Companies
  10. Financial Cooperatives
  11. Deposit Money Banks and Development Finance Institutions (Bank of Agric and Bank of Industry)
  12. What are the activities that can be financed under the Fund?
    • Agricultural value chain activities,
    • Manufacturing & Cottage Industries,
    • Artisans,
    •  Services,
    • Trade and general commerce,
    • Renewable energy or energy efficient products and technologies, and
    • Any other income generating projects as may be prescribed by the CBN.

Further Information:

  • Prospective borrowers shall provide the requisite documents including collateral for SME loans;
  • PFIs will appraise loan applications, approve and forward loan requests of borrowers to the CBN for the release of funds;
  • MSMEDF will only release funds to borrowers through the PFIs;
  • The account of benefitting  borrower’s shall be credited by the PFIs within 5 working days upon the release of Funds by MSMEDF to the PFI;
  • Loans shall be granted at an interest rate of 9.0% per annum (all charges inclusive) irrespective of the type of eligible activity financed;
  • Borrowers shall be expected to payback all loans as and when due inclusive of any accrued interest to the PFI; and
  • The MSMEDF/CBN will recycle all fully repaid loans transferred to it by the PFIs.

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