Apply for CBN TERTIARY INSTITUTIONS ENTREPRENEURSHIP SCHEME (TIES) 

CENTRAL BANK OF NIGERIA

GUIDELINES FOR THE IMPLEMENTATION OF 

TERTIARY INSTITUTIONS ENTREPRENEURSHIP SCHEME (TIES)

1. Introduction

The Central Bank of Nigeria, pursuant to the CBN Act, 2007 and as part of its 

policy measures to address rising youth unemployment and 

underemployment, developed the Tertiary Institutions Entrepreneurship 

Scheme (TIES), in partnership with Nigerian polytechnics and universities to 

harness the potential of graduate entrepreneurs (gradpreneurs) in Nigeria. 

The Scheme is designed to create a paradigm shift among undergraduates 

and graduates from the pursuit of white-collar jobs to a culture of 

entrepreneurship development for economic development and job creation. 

The Scheme thus aims to provide an innovative financing model that will

create jobs, enhance the entrepreneurial ecosystem and support economic 

growth and development.

The Guidelines outlines the operational modalities for the Scheme.

2. Objectives of the Scheme

The broad objective of the Scheme is to enhance access to finance by 

undergraduates and graduates of polytechnics and universities in Nigeria with 

innovative entrepreneurial and technological ideas. Other specific objectives 

of the Scheme include:

i. Provide an enabling environment for co-creation, mentorship and 

development of entrepreneurial and technological innovations; 

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ii. Fast track ideation, creation and acceleration of a culture of innovation￾driven entrepreneurship skills among graduates of polytechnics and 

universities in Nigeria;

iii. Promote gender balance in entrepreneurship development through 

capacity development and improved access to finance;

iv. Leapfrog entrepreneurial capacity of undergraduates and graduates for 

entrepreneurship and economic development in partnership with 

academia and industry practitioners; and 

v. Boost contribution of non-oil sector to the nation’s GDP.

3. Focal Targets

In order to ensure that the Scheme achieves its desired objective and targetss, 

the focal targets under the Scheme shall include the number of:

i. Gradpreneur-led innovative start-ups and businesses with access to 

finance under the Scheme – 25,000 annually;

ii. Sustainable jobs created by gradpreneur-led businesses financed under 

the Scheme – 75,000 annually;

iii. Female-gradpreneurs financed as a percentage of total projects financed 

under the Scheme – 50 per cent per annum; 

iv. Agropreneurs financed as a percentage of total projects financed under 

the Scheme – 40 per cent per annum; 

v. Creative entrepreneurs financed as a percentage of total projects

financed under the Scheme – 20 per cent per annum;

vi. Techpreneurs financed as a percentage of total projects financed under 

the Scheme – 20 per cent per annum; and

vii. Other gradpreneurs financed as a percentage of total projects financed 

under the Scheme – 20 per cent per annum. 

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4. Eligible Activities 

Activities to be covered under the Scheme shall include innovative start-ups 

and existing businesses owned by graduates of Nigerian polytechnics and 

universities in the following areas:

i. Agribusiness – production, processing, storage and logistics;

ii. Information technology – application/software development, business 

process outsourcing, robotics, data management;

iii. Creative industry – entertainment, artwork, publishing, culinary/event 

management, fashion, photography, beauty/cosmetics;

iv. Science and technology – medical innovation, robotics, ticketing 

systems, traffic systems, renewable energy, waste management; and

v. Any other activity as may be determined by the CBN from time to time.

Note: Priority will be given to innovative entrepreneurial activities with high 

potentials for export, job creation and transformational impact.

Trading activities shall not be eligible for financing under the Scheme.

5. Funding 

The take-off capital will be sourced from both the Agribusiness / Small and 

Medium Enterprise Investment Scheme (AgSMEIS).

6. Focal Components of the Scheme 

The Scheme shall be implemented through three (3) components:

i. Term Loan Component;

ii. Equity Investment Component; and 

iii. Developmental Component

6.1 Term Loan Component

Graduates of Nigerian polytechnics and universities shall be eligible to 

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6.1.1 Eligibility Criteria for Participation 

Applicants under the Scheme shall be graduates of Nigerian polytechnics and 

universities with:

i. First degree certificate (BSc/HND/ or its equivalent);

ii. National Youth Service Certificate (NYSC) discharge or exemption 

certificate;

iii. Certificate of Participation issued by polytechnics and universities

evidencing entrepreneurship training; and

iv. Not more than 7 years post-NYSC.

6.1.2 Other Features

i. Focus shall be on both greenfield (new) and brownfield (existing)

projects in ratio 40:60, respectively.

ii. To promote gender equality, 50 per cent of the Term Loan Component 

of the Scheme shall be earmarked for female-led or -owned projects.

iii. Facilities accessed under the Term Loan Component shall be 

revolving, as upon full repayment, beneficiaries shall be eligible to 

apply for additional and or increased funding to ensure sustainability 

of financing support to projects.

iv. The facility shall be disbursed in tranches and subject to approved 

terms and milestones. 

v. The tenor of projects financed under the Scheme shall be determined 

in relation to its cash flow and life of the underlying collateral.

vi. The applicants 

vii. All movable assets financed under the Scheme or used as collateral 

to secure the loan shall be registered with the National Collateral 

Registry (NCR).

viii. Risk sharing (including recoveries) shall be in ratio 80:20 between the 

Central Bank of Nigeria and the PFI for the amount in default after all 

recoveries have been made. 

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ix. In the event of three (3) consecutive monthly repayment defaults by 

any beneficiary, the CBN and PFI shall review the repayment schedule 

with the beneficiary with recovery notification issued to that effect. 

x. Beneficiaries of other CBN’s interventions shall be eligible to 

participate under the Scheme upon full repayment of amount 

outstanding under the other earlier accessed intervention facility.

xi. This facility could be used for the refinancing of existing projects 

subject to Management’s special approval. 

6.1.3 Transaction Dynamics

i. Prospective applicants shall attend mandatory entrepreneurship 

trainings with their respective Nigerian polytechnics and universities and 

certificates of completion issued to trainees;

ii. Applications shall be submitted on a dedicated online portal

(https://cbnties.com.ng), with copies of relevant documents attached 

for review, which shall include:

a. First degree certificate (BSc/HND/or its equivalent);

b. National Youth Service Certificate (NYSC) discharge or exemption 

certificate;

c. Certificate of Participation issued by polytechnics and universities 

evidencing entrepreneurship training;

d. Letter confirming the applicants’ deposit of required certificates from 

PFI; 

e. Projected Statement of Income, Statement of Affairs, and cash flow 

projections for start-ups and businesses with less than 3 years of 

operations; 

f. Business plan outlining details, financials and economic benefits of 

the projects.

iii. Submitted applications and certificates shall be transmitted directly to 

the PFI for evaluation and documentation; 

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iv. The portal shall be designed to allow the applicants select its PFI of 

choice, which shall receive copies of the submitted applications for due 

diligence checks and subsequent disbursement and monitoring of 

financed projects;

v. The PFI shall provide to the applicants and forward to the CBN, the 

following documents: 

a. Copies of duly executed offer documents between the bank and 

the loan applicants;

b. At least one (1) Credit Report of the promoter/entrepreneur;

c. Duly signed Global Standing Instruction (GSI); and

d. Proposed schedule of fund disbursement and repayment; 

vi. The PFI shall register the submitted certificates with the National 

Collateral Registry (NCR);

vii. Upon approval of application by the CBN, the approved sum shall be 

released to applicants’ PFIs of choice in accordance with the approved 

disbursement schedule;

viii. The PFI shall disburse the released funds into the applicants’ accounts 

within five (5) working days with no restriction on access, upon 

compliance with the terms for withdrawal;

ix. The PFI shall register all financed equipment under the Scheme with the 

National Collateral Registry (NCR); and

x. The location of the business shall be mapped or tagged for monitoring 

and evaluation purpose.

6.1.4 Repayment

Interest payment and principal repayment shall be made on monthly or 

quarterly basis by the obligor depending on the established cash flow cycle 

and in line with the approved repayment schedule.

6.1.5 Participating Financial Institutions 

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The PFIs under this Scheme shall be deposit money banks (DMBs) and other 

financial institutions as may be approved by the CBN.

6.2 Equity Investment Component

The Equity Investment Component shall be in the form of injection of fresh 

capital for start-ups, expansion of established businesses or reviving of ailing 

entrepreneurial businesses. The Component shall be implemented under the 

AgSMEIS Equity window, with application for participation submitted on 

https://cbnties.com.ng.

i. The Bankers’ Committee Trust shall hold the equity on behalf of the 

AgSMEIS Fund.

ii. The equity investments shall be in enterprises operating within the 

eligible focal areas.

6.2.1 Investment Limit

The investment limit shall be subject to the limit prescribed in the AgSMEIS 

Guidelines.

6.2.2 Investment Period

This shall be as follows:

i. Investment made shall be for a maximum period of ten (10) years (not 

exceeding December 31, 2031).

ii. There shall be a 3-year lock-in period before exit in order to encourage 

value creation and boost managerial capacity of businesses.

6.3 Developmental Component

The Developmental Component shall be disbursed in the form of grants to 

Nigerian polytechnics and universities in a national biennial entrepreneurship 

competition. The competition is aimed at raising awareness and visibility of 

high-impact entrepreneurial/technological ideas among undergraduates,  

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promote entrepreneurial talent hunts in Nigerian polytechnics and universities, 

as well as encourage innovations that are commercially viable and with 

transformational impact.

The Developmental Component shall also be utilized for the general 

development of the MSME segment in the following areas:

i. Finance the development of the award-winning innovative 

entrepreneurial/technological ideas; 

ii. Research and development of high-impact technological innovations and 

projects; and

iii. Support the development of financial infrastructure to facilitate the 

entrepreneurship in Nigerian polytechnics and universities. 

6.3.1. Award of Grants

Five (5) top Nigerian polytechnics and universities with the best 

entrepreneurial pitches/ideas shall be awarded as follows:

▪ First place – N150.0 million;

▪ Second place – N120.0 million;

▪ Third place – N100.0 million;

▪ Fourth place – N80.0 million; and

▪ Fifth place – N50.0 million.

The grants shall be in the following areas:

i. Agribusiness;

ii. Information technology;

iii. Creative industry; and

iv. Science and technology.

The Bank shall constitute a Body of Experts (BoE) from the private and public 

sector for the biennial regional and national entrepreneurship competitions to 

evaluate entrepreneurial and technological innovations submitted by Nigerian 

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polytechnics and universities. The Body of Experts (BoE) shall recommend 

projects with high potential and transformational impact for the grant award. 

The composition of the BoE shall be as detailed below:

i. Four (4) representatives from the Bankers’ Committee;

ii. One (1) representative from consulting industry;

iii. One (1) nominee from SMEDAN; 

iv. One (1) nominee from the NUC; 

v. One (1) nominee from the NBTE; and 

vi. One (1) nominee from the CBN (Secretary). 

The Chair of the BoE shall be appointed by the CBN from the Banker’s 

Committee.

Participation under the Developmental Component shall be restricted to 

undergraduates of Nigerian polytechnics and universities.

6.3.2 Modalities

i. Interested Nigerian polytechnics and universities shall apply to 

participate in the national biennial entrepreneurship competition on a 

dedicated online portal (https://cbnties.com.ng), outlining brief details 

of the project, potential impact and evidence of originality of project;

ii. The submitted applications shall be evaluated by the BoE through 

engagements that showcase undergraduates competing by pitching 

entrepreneurial and technological innovations at regional levels, with 

finalists proceeding to the national event for final consideration and 

ranking by the BoE;

iii. The showcasing programmes shall be broadcasted for four (4) weeks on 

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two) to help highlight the value of entrepreneurship and change

attitudes, as well as social perceptions about entrepreneurship;

iv. Final top five (5) entrepreneurial and technological innovations at the 

national level shall be awarded the grant on recommendation of the 

BoE; and

v. The Grant shall be disbursed in tranches of 55:45 ratio directly to a 

dedicated account opened for the purpose of the grant by the Nigerian 

polytechnics and universities, subject to approved milestones.

7. Stakeholders and Responsibilities

The responsibilities of the stakeholders shall include:

7.1 Central Bank of Nigeria (CBN)

The Central Bank of Nigeria shall:

i. Articulate clear Guidelines for the implementation of the Scheme;

ii. Partner with the private sector and Nigerian polytechnics and 

universities in the development of the online application portal, 

constituting the BoE and organising the national entrepreneurship 

contest;

iii. Approve and disburse loan request to successful beneficiaries through 

their PFIs;

iv. Engage independent monitors to carry out periodic verification and 

monitoring projects financed;

v. Conduct project impact assessment in conjunction with the Monitoring 

Team and other relevant stakeholders;

vi. Sensitize stakeholders and the general public on the activities of the 

Scheme;

vii. Facilitate meetings of the BoE; and

viii. Review the Guidelines from time to time 

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two) to help highlight the value of entrepreneurship and change

attitudes, as well as social perceptions about entrepreneurship;

iv. Final top five (5) entrepreneurial and technological innovations at the 

national level shall be awarded the grant on recommendation of the 

BoE; and

v. The Grant shall be disbursed in tranches of 55:45 ratio directly to a 

dedicated account opened for the purpose of the grant by the Nigerian 

polytechnics and universities, subject to approved milestones.

7. Stakeholders and Responsibilities

The responsibilities of the stakeholders shall include:

7.1 Central Bank of Nigeria (CBN)

The Central Bank of Nigeria shall:

i. Articulate clear Guidelines for the implementation of the Scheme;

ii. Partner with the private sector and Nigerian polytechnics and 

universities in the development of the online application portal, 

constituting the BoE and organising the national entrepreneurship 

contest;

iii. Approve and disburse loan request to successful beneficiaries through 

their PFIs;

iv. Engage independent monitors to carry out periodic verification and 

monitoring projects financed;

v. Conduct project impact assessment in conjunction with the Monitoring 

Team and other relevant stakeholders;

vi. Sensitize stakeholders and the general public on the activities of the 

Scheme;

vii. Facilitate meetings of the BoE; and

viii. Review the Guidelines from time to time 

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7.3 Participating Finance Institutions

The PFIs shall:

i. Participate in the development of the online application portal to 

facilitate submission of applications by prospective beneficiaries for the 

term loan;

ii. Carry out all relevant due diligence on applicants and submitted 

certificates under the term loan component of the Scheme;

iii. Provide at least one credit report on promoter(s) for all projects;

iv. Register all movable assets accepted or financed, including submitted 

certificates, as collaterals for the loan with the National Collateral 

Registry (NCR);

v. Issue a letter evidencing the registration of the applicant’s certificates 

with the NCR;

vi. Forward verified and approved applications to the CBN for further 

processing and approval;

vii. Disburse released funds to beneficiaries’ accounts within 5 working days 

of receipt;

viii. In line with 8.3(vii), return undisbursed funds to the CBN after a period 

of 14 working days of receipt of the funds;

ix. Remit monthly or quarterly interest and principal repayments to the CBN

within 5 working days of the subsequent month depending on the 

approved repayment schedule;

x. Collaborate with the CBN in engaging independent monitors to carry out 

periodic verification and monitoring projects financed;

xi. The PFI shall remit interests and principal repayments received to the 

Scheme on monthly or quarterly basis depending on the established 

cash flow cycle and in line with the approved repayment schedule;

xii. Render periodic returns as may be specified by the CBN from time to 

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xiii. Discharge all movable collaterals used to securitize the loan on the 

National Collateral Registry within one month of repayment, and notify 

the customer accordingly; and

xiv. Comply with the Guidelines of the Programme.

7.4 Beneficiary

The beneficiary shall:

i. Apply on the dedicated online portal and provide all requisite 

documentation to support the application;

ii. Present for verification original copies of submitted certificates and 

documents;

iii. Submit business proposal and other documentation requirements

iv. Adhere strictly to the terms and conditions of the Scheme and avoid any 

forms of plagiarism in the project idea;

v. Utilize the funds for the purpose for which it was granted;

vi. Present the business and its location for mapping/tagging, as well as

monitoring and evaluation;

vii. Maintain accurate and up-to-date records available for 

inspection/verification by the CBN and Monitoring Team; and

viii. Adhere strictly to the terms and conditions of the Scheme.

8. Verification/Monitoring of Projects

Projects financed under the Scheme shall be monitored by independent 

monitors jointly engaged by the CBN and PFI. 

9. Discontinuation of Credit Facility

i. Whenever a loan is repaid or the Scheme is otherwise discontinued, the 

PFI shall return the fund to the CBN. 

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ii. The PFI shall discharge the movable collaterals from the National 

Collateral Registry (NCR).

10 Dispute Resolution

All disputes shall be resolved in line with the Consumer Protection Regulations 

of the Central Bank of Nigeria. 

11. Exit Date 

The Scheme shall be operated for a period of 10 years in the first instance

(not exceeding 31st December 2031) depending on the complexity of the 

project. 

12. Infractions and Penalties

The following, among others, shall constitute infractions under the Guidelines:

S/No. Infraction Penalty

1. Delay in disbursement of 

funds to beneficiaries’ 

accounts

Monetary Policy Rate (MPR) plus 2 

per cent of the amount 

undisbursed to beneficiaries

2. Delay in remittance of 

monthly interest and principal 

repayments to the CBN by 

PFIs

Monetary Policy Rate (MPR) plus 2 

per cent on cumulative interest 

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13. Management of the Scheme 

The Scheme shall be managed by the Development Finance Department of 

the Central Bank of Nigeria.

a. The CBN reserves the right to reject an application from any applicants 

that does not meet the requirements of the Guidelines.

b. The CBN may amend this Guidelines from time to time and may waive 

any part of this Guidelines upon the approval of the Governor.

14. Enquiries and Returns

All enquiries and returns should be addressed to:

The Director,

Development Finance Department,

Central Bank of Nigeria, 

Corporate Headquarters

Central Business District, Abuja.

October 2021

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