It is the Central Bank of Nigeria (CBN) that introduced the Targeted Credit Facility (TCF) as a relief measure for financial hardship to help small and middle-sized enterprises that have been impacted by economic disruptions. It was first introduced in 2020 during the COVID-19 pandemic; the plan will continue until 2025 as a crucial intervention program for micro, small and medium-sized businesses (MSMEs).
The fund is run by the NIRSAL Microfinance Bank (NMFB), acting as the official partner for disbursing of the CBN. The TCF offers low-cost loans to entrepreneurs in order to help them recover from financial hardships, sustain their operations and ensure the protection of jobs. This guide explains what TCF is, who can apply, and the maximum amount of funding, along with the documents required for application, as well as the specific steps to make an application.
What is the CBN Targeted Credit Facility (TCF)?
The Targeted Credit Facility (TCF) is a low-interest loan program that was created through the CBN to offer financial aid to households, individuals, and MSMEs that are experiencing revenue or income losses due to economic recessions or crises.
The funds are available through the NIRSL Microfinance Bank, and customers can benefit from one-digit interest rates as well as adjustable repayment programs. The scheme is available to businesses in areas like manufacturing, healthcare, agricultural education, trade hospitality, and creative industries.
The program is intended to increase productivity, create jobs and stabilise the economy by assisting small businesses that are the foundation of the Nigerian workforce.
The information may differ based on the program’s phase. Verify information through CBN’s portals of the CBN and NMFB portals prior to submitting your application.
Funding & Coverage of the TCF
The CBN Targeted Credit Facility covers both household and business categories, with different loan limits and repayment periods.
| Category | Maximum Amount | Interest Rate | Tenure | Purpose |
| Households | Up to ₦3 million | 9% per annum | 3 years | Support personal or family livelihoods affected by economic shocks |
| MSMEs | Up to ₦25 million | 9% per annum | Up to 5 years | Support business operations, payroll, and working capital |
| SMEs in Manufacturing & Agriculture | ₦10 million – ₦25 million | 9% per annum | Up to 7 years | Expand production or acquire equipment |
| Youth & Women Entrepreneurs | ₦500,000 – ₦5 million | 5%–9% per annum | Up to 5 years | Encourage financial inclusion and entrepreneurship |
Loan repayment begins after a moratorium period of up to 12 months, depending on the business type.
Eligibility for the CBN Targeted Credit Facility
The applicants must meet the requirements for eligibility established in the CBN as well as NIRSAL Microfinance Bank:
- You must be a Nigerian citizen or a registered company that is operating within Nigeria.
- Demonstrate the negative impact of economic problems on revenue or income
- You must have an account verification code (BVN).
- Provide a credible business plan or proposition with repayment capacity
- Engage in the sectors that are eligible (agriculture trade services, healthcare, manufacturing, etc.)
- Businesses must register with the Corporate Affairs Commission (CAC).
- For households, show an ID with valid validity and evidence of address.
The priority is placed on young women-owned businesses and enterprises that are located in rural areas.
How to Apply for the CBN Targeted Credit Facility
- Visit the Official NMFB Portal
Visit the official NIRSAL Microfinance Bank application website and click “CBN TCF Application“. - Choose the Correct Category
Choose your household and SME according to your company or income level. - Fill in the Application Form
Fill in your personal details, BVN, and business name, as well as any other information you need to enter precisely. - Upload Supporting Documents
Include an official business licence (if relevant) as well as a photo ID. your business proposal. - Submit the application.
Check all the details and then complete the form. Then you will receive a confirmation email and tracking ID. - Application Review and Verification
NMFB reviews your documents and determines your eligibility. The process can take a couple of weeks. - Approval Notification
If you are approved, you’ll be notified via text or email, containing your credit amount as well as repayment information. - Disbursement
The funds are directly credited into your account at the bank. It is possible to make the payment in a series for large loans. - Repayment and Monitoring
Repayments are made via NMFB channels, as specified in your loan contract.
Required Documents for the TCF Application
- A valid method to prove identity (National ID, voter’s card, or international passport)
- Bank Verification Number (BVN)
- Documents for business registration (CAC) for SMEs
- Tax Identification Number (TIN)
- A feasibility or business plan
- Address proof (utility invoice or tenancy agreement)
- Passport photos
- Form of Introduction, or guarantor’s form (if required)
Timelines
- Application Review: 2-4 weeks after submission
- Nomination and Approval: 4–6 weeks based on the confirmation.
- Payment: Within 2-3 weeks after approval
- Repayment Start Date: After moratorium (up to twelve months)
The processing time can vary based on the number of applications submitted and verification results.
Common Challenges or Warnings
- Beware of fake agents offering to help secure TCF loans in exchange for the payment of a fee.
- The application is available for free and exclusively through an authorised NMFB portal.
- The submission of incorrect information can result in an automatic exclusion.
- Make sure your BVN matches the application name precisely.
- Secure the tracker ID for the purpose of monitoring the progress of your application.
FAQs on the CBN Targeted Credit Facility (TCF)
1. Is the TCF still available in 2025?
Yes. The CBN continues to offer the TCF through NIRSAL Microfinance Bank.
2. Who can apply?
Both households and registered businesses affected by economic hardship.
3. What is the interest rate?
The loan attracts a 9% annual interest rate.
4. Is it a grant or a loan?
The TCF is a low-interest loan, not a grant.
5. How much can I get?
Up to ₦25 million depending on your category and business capacity.
6. Do I need collateral?
Collateral is flexible; small loans may only need guarantors.
7. How long does approval take?
Between 4–8 weeks depending on verification.
8. Can I apply more than once?
No. Applicants can only apply once per program cycle.
9. What happens if I default?
Defaulters risk losing access to future CBN programs and may face legal recovery.
10. Can I apply online without visiting NMFB?
Yes. The entire process can be completed on the official NMFB portal.
11. How do I check my application status?
Use your BVN or reference number on the NMFB loan tracking portal.
12. Can cooperatives or groups apply?
Yes, through registered cooperative societies under the SME category.
Related Guides
- CBN Grants for Small Businesses in Nigeria
- How to Access MSME Development Funds in Nigeria
- NIRSAL Microfinance Bank Grants and Loans for Entrepreneurs
- CBN Loans for Youth and Women Entrepreneurs
Conclusion
The CBN Targeted Credit Facility (TCF) offers accessible financial support to Nigerian households and small businesses struggling with limited cash flow. By following the official application process through NIRSAL Microfinance Bank, applicants can secure affordable funding to sustain and expand their businesses.
Always verify information from official CBN or NMFB portals and never pay anyone to process your application.
Disclaimer: FederalGrantsInfo.com provides verified information for educational purposes only. We do not distribute grants or charge any application fees. Always confirm current details through official portals.