The Federal Government of Nigeria has announced a fresh financial opportunity for the nation's young workforce, calling on employed youths between the ages of 18 and 39 to apply for loans of up to N5 million. The initiative, known as YouthCred, is being administered through the Nigerian Consumer Credit Corporation (CREDICORP).
Details of the YouthCred Loan Scheme
According to an announcement made on December 20, 2025, the programme is specifically designed for gainfully employed Nigerian youths. The National Orientation Agency stated that the scheme aims to help young workers overcome financial hurdles, boost their productivity, and establish a formal credit history. A key feature is that it seeks to provide a safer alternative to high-interest loan apps and unregulated lenders.
The government-backed loans will have their repayment structured through a direct deduction from the applicant's salary. This method is intended to ensure discipline and ease the repayment burden. The authority emphasised that YouthCred offers a transparent and affordable credit option, though specific interest rates were not detailed in the initial announcement.
Mixed Reactions and Public Skepticism
Following the announcement, several Nigerians who visited the application portal took to comment sections to share their views and experiences, revealing a mix of hope and skepticism.
Some users raised critical questions about the scheme's transparency. Ugo Alhassan questioned the vagueness, asking, "Why isn’t the interest rate stated upfront? What exactly does low and affordable mean?" He expressed concern that policies were being announced without clear, finalized details.
Others pointed to potential red flags. James Monday noted the absence of clear interest terms as a warning sign, advising caution before sharing personal details. Nasirudeen questioned the scheme's credibility, citing multiple rejections without clear feedback, labelling the initiative "more like audio than action."
There were also comments reflecting past disappointments. Olumuyiwa voiced a common sentiment, stating, "I just hope they are serious this time around. It was launched before, but nothing was heard." A user named Agba Awo raised a security concern, stating the application process requested banking login details, which prompted them to pause their application.
Aimed at Formalising Youth Credit Access
Despite the public skepticism, the Federal Government presents the YouthCred scheme as a strategic move to integrate young earners into the formal credit system. By linking repayment to salary, the programme mitigates default risk and aims to build a credit culture among Nigerian youth. The initiative falls under the broader agenda of the Bola Tinubu administration to foster youth empowerment and financial inclusion.
Prospective applicants are urged to apply through the official channels. However, the feedback from early users suggests that clarity on interest rates, a streamlined application process, and responsive customer support will be crucial for the scheme's success and public acceptance.
