How to Successfully Apply for CBN NMFB N50 billion COVID-19 Palliative Loan Scheme | Get Credit Alert within 48 hours


How to Successfully Apply for CBN NMFB N50 Billion COVID-19 loan for households and micro, small and medium enterprises — Get credit alert within 48 hours.


Understanding the CBN guidelines for the operation of the NGN 50 billion targeted credit support for households and micro, small and medium enterprises in Nigeria is key to getting your application approved by the apex bank and getting credit alert within 48 hours.

It’s real, and as a matter of fact, CBN on June 8, 2020 announced it has started disbursing loans to qualified applicants:

And if your account is not credited withing the 48 hours, this is what CBN said you should do:


Households and micro, small and medium enterprises (MSMEs) are no doubt the worst hit by the effect of the Coronavirus pandemic as businesses are literally ground to a halt. SMEs constitute about 90% of all the businesses in Nigeria.

In March 2020, the Central Bank of Nigeria (CBN), as part of the Federal Government’s intervention policy during COVID-19, released Guidelines for the Implementation of the NGN 50 Billion Targeted Credit Facility (the Scheme) aimed at providing succour to households and MSMEs that have been adversely affected by COVID-19.

In this article, we have explained in details the content of the guidelines and the operational modalities for the CBN N50 billion COVID-19 Loan Scheme.

What are the Objectives of the Scheme?

With the introduction of the Scheme, the CBN intends to:

i. Cushion the adverse effects of COVID-19 on households and MSMEs;

ii. Support households and MSMEs whose economic activities have been significantly disrupted by COVID-19; and

iii. Stimulate credit to MSMEs to expand their productive capacity through equipment upgrade, and research and development.

What activities are covered under the Scheme?

  • The Scheme covers agricultural value chain activities
  • Hospitality (accommodation and food services)
  • Health (pharmaceuticals and medicals supplies)
  • Airline service providers
  • Manufacturing/value addition
  • Trading and any other income generating activities as may be prescribed by the CBN.

Who is eligible to participate under the Scheme?

Based on the CBN guidelines, those eligible beneficiaries under the Scheme include:

  • Households (with verifiable evidence of livelihood adversely impacted by COVID-19)
  • Existing enterprises (with verifiable evidence of business activities adversely affected as a result of COVID-19) and
  • Enterprises with bankable plans to take advantage of opportunities arising from COVID-19.

How is the Scheme funded/financed?

The Scheme is financed from the Federal Government’s Micro, Small and Medium Enterprises Development Fund (MSMEDF).

Who are the Stakeholders under the Scheme?

The CBN, a Participating Financial Institution (PFI) and the borrowers/beneficiaries are the major stakeholders under the Scheme.

Who is the Participating Financial Institution under the Scheme?

The Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL) Microfinance Bank is the only PFI under the Scheme.

Is there a Limit to the Loan that can Obtained Under the Scheme?

  • For households, the loan limit for each borrower is NGN3 million.
  • For SMEs, the loan limit is NGN25 million determined based on the activity, cashflow and industry/segment size of the beneficiary.
  • Where the purpose of obtaining the loan is working capital, the limit is a maximum of 25% of the average of the previous 3 years’ annual turnover of the enterprise or business applying.
  • Where the enterprise or business is not up to 3 years in operation, 25% of the previous years’ turnover will suffice.

What is the Interest Rate Applicable to a Loan under the Scheme?

The applicable interest rate is 5.0% p.a (all inclusive) up to 28th February 2021. Interest shall thereafter revert back to 9% p.a (all inclusive) as from 1st March 2021.

What is the Tenor of the Loan?

Working capital shall be for a maximum period of one year, with no option of rollover while the term loan shall have a maximum tenor of not more than 3 years with at least, one-year moratorium.

Is any Collateral required to Obtain the Facility?

The collateral to be pledged by borrowers/beneficiaries under the Scheme shall be as may be acceptable by NIRSAL Microfinance Bank and may include one or more of the following:

i. Moveable asset(s) duly registered on the National Collateral Registry (NCR);

ii. Simple deposit of title documents, in perfectible state;

iii. Irrevocable domiciliation of proceeds;

iv. Two (2) acceptable guarantors;

CBN recently announced it has waived the requirement for the provision of guarantors.

v. Personal guarantee of the promoter of the business;

vi. Life insurance of the key-man, with NIRSAL Microfinance Bank noted as First Loss Payee;

vii. Comprehensive Insurance over the asset.

How is the Interest and Principal to be Repaid?

The interest and principal repayment shall be made on instalment by the borrowers to NIRSAL Microfinance Bank according to the nature of the enterprise and the repayment schedule/work plan provided at the application stage.

How will the Loans be Monitored?

Periodic monitoring of projects financed under the Scheme will be conducted by NIRSAL Microfinance Bank.

What is the responsibility of the CBN under the Scheme?

  • The CBN shall provide the seed fund for the Scheme
  • Release funds to NIRSAL Microfinance Bank for disbursement to successful applicants
  • Review the Guidelines of the Facility as may be necessary
  • Receive and process periodic returns from NIRSAL Microfinance Bank
  • Monitor and evaluate the implementation of the Scheme by NIRSAL Microfinance Bank

What is the responsibility of NIRSAL Microfinance Bank under the Scheme?

  • NIRSAL Microfinance Bank is mandated to validate the status and BVN of the applicants
  • Process and disburse the funds to approved beneficiaries
  • Maintain records of all beneficiaries and disbursements
  • Forward periodic returns on the prescribed format on the Scheme to CBN
  • Comply with the Guidelines and carry out any duties as the CBN may prescribe from time to time.

Read This Before You Apply


How to Apply for the CBN N50 billion COVID-19 Loan Scheme

  • Eligible households, MSMEs and corporate entities are to submit applications directly to NIRSAL Microfinance Bank.
  • The application must, amongst others contain BVN Number, business registration (where applicable) and a business plan with clear plan of the opportunity or adverse impact as a result of COVID-19.
  • NIRSAL Microfinance Bank will appraise the application, conduct due diligence and forward the application to CBN upon satisfactory appraisal of the application.
  • CBN will review the application and give final approval for disbursement to NIRSAL Microfinance Bank and onward disbursement to the applicant.

To apply for this loan click the NMFB dedicated link:

What is the Deadline for the Availability of the Scheme?

The deadline for the CBN N50 billion COVID-19 Loan Scheme will run until 31 December 2024.

How to check CBN NMFB COVID-19 Palliative Loan Successful Applicants 2020

If you received a loan approval SMS from NIRSAL Micro Finance Bank like the below and you were not credited simply visit the website of NIRSAL Micro Finance Bank ( and input your account details.


You can also call mobile number: 09010026900 for resolution.

Final Note

It is expected that this facility will be utilised by Nigerian households and MSMEs during this COVID-19 period.


  1. To whom it may concern, i writes with a broken heart. My nirsal account was credited since 5th june. Since then i signed a transfer of fund to my commercial bank. But no alert yet, Onitsha NMFB said they are waiting for autholization before they transfer the fund. Is being over 3weeks now, i dont know what to believe again. Please tell the manager Onitsha branch to pay people and stop giving excuses. I have visited the branch more than 15 times. Do we die first b4 we get the loan

  2. Please tell Onitsha NMFB to pay people and stop giving excuses. My nirsal account was credited on 5the June. I signed letter of transfer to my commercial account, over 3weeks, they are still giving me excuses, that CBN has not responded to their mail to transfer the money

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

scroll to top