The Central Bank of Nigeria (CBN) had partnered with the Bankers’ Committee to launch the Creative Industry Financing Initiative (CIFI), a project which will enable businesses to obtain loans up to the tune of 500 million naira.
The release of the CIFI document published on the CBN’s website reveals that the initiative is targeted at boosting job creation in Nigeria, particularly among the youth.
In February 2019, the Bankers Committee of the CBN announced that it would provide more funding for the development of the creative sector in the economy.
Addressing journalists shortly after the 342nd meeting of the Bankers Committee of the CBN, the Director, Banking Supervision Department, CBN, Mr. Ahmed Abdullahi, disclosed that the decision to support the creative industry was born out of the committee’s conviction that the sector holds the key to job creation, poverty reduction and inclusive growth.
The Managing Director of Access Bank, Herbert Wigwe, who commented on the initiative said “the Bankers Committee after a lot of research identified the creative and IT sector as a critical sector to support social and inclusive growth in Nigeria. We’ve basically found out that the sector would generate a significant amount of employment given how Nigerian inclined in the creative sector have done well in music and others”.
CIFI has four different pillars which cut across different fields. Specifically, the four pillars include Fashion, Information Technology, Movies, and Music.
The CBN noted that to be eligible for the initiative, interested candidates must have businesses in areas which include- fashion, Information Technology, movie production, movie distribution, music and software engineering student loan.
If the requirements of having a business in any of the areas stipulated have been satisfied, the applicant is then required to prepare a business plan or proposal on how much is needed for such a business.
In fufilment to its promise of a single digit interest rate, the CBN stated that loans can be accessed at any bank of the applicant’s choice with a maximum interest rate of 9 percent per annum (all charges inclusive) on all loans.