How to Get a NIRSAL Microfinance Bank (NMFB) Loan in 2025 (Complete Guide)

Last updated on July 29, 2025

You know that feeling when you’ve got a brilliant business idea, the passion to make it work, but your bank account is giving you the side-eye? Or maybe you’re a farmer who’s tired of begging commercial banks for loans, only to be asked for collateral worth more than your entire operation?

Here’s some good news that might surprise you: there’s actually a microfinance bank in Nigeria specifically designed to fund entrepreneurs and agribusiness owners like us. I’m talking about NIRSAL Microfinance Bank (NMFB) – and before you roll your eyes thinking it’s another “government promise,” let me tell you why this one is different.

Unlike traditional banks that treat small business owners like we’re asking for charity, NMFB was literally created to solve our funding problems. They offer NIRSAL Microfinance Bank loans ranging from household financing to serious agribusiness funding, with some schemes offering up to N10 million at just 5% annual interest.

But here’s the catch (there’s always a catch, right?): getting these NMFB agric loans requires following a specific process that many applicants get wrong. This guide will walk you through every single step, from the mandatory training to the final disbursement, so you can navigate the system like a pro.

To get an NMFB loan in 2025, complete mandatory EDI training, prepare a solid business plan, apply through their online portal, and be prepared for a thorough but fair review process.

Quick Facts: NIRSAL Microfinance Bank Loans 2025

Question	Answer
Maximum loan amount?	Up to N10 million (AGSMEIS).
Interest rate?	5% per annum (AGSMEIS).
Loan tenure?	7 years, 18-month moratorium.
Collateral required?	Minimal collateral; purchased assets secure loan.
Must I take training?	Yes, mandatory EDI certification.
Can I apply online?	Yes, via nmfb.com.ng portal.

Official Guidelines: CBN AGSMEIS Guidelines (October 2020 Revision PDF)

First, What is NIRSAL Microfinance Bank? (And How is it Different from NIRSAL Plc?)

Let’s clear up this confusion right away because I’ve seen too many people mix these up and end up frustrated.

NIRSAL Microfinance Bank (NMFB) is an actual licensed microfinance bank that gives loans directly to farmers, entrepreneurs, and small business owners. Think of them as your friendly neighborhood bank, except they actually understand agriculture and small businesses.

As Abdulhameed, former Managing Director of NIRSAL Microfinance Bank, stated:

“The mission and strategy of NMFB are focused on making significant, sustainable and measurable impact on small businesses across Nigeria and, by extension, on the lives of millions of Nigerians dependent on them in the overall interest of the economy.” — Abdulhameed, former Managing Director, NIRSAL Microfinance Bank, as reported by Nairametrics (February 1, 2019)

NIRSAL Plc, on the other hand, is the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending. Their job is to provide credit guarantees and “de-risk” agricultural loans for other banks. They don’t give loans directly to individuals.

Here’s a simple analogy: If you’re buying a car, NIRSAL Plc is like the insurance company that covers the loan risk, while NMFB is the bank that actually hands you the car keys (or in this case, the money).

Got it? Good. Now let’s talk about how to get that money.

Understanding NMFB’s Key Loan Products for Agribusiness

NMFB isn’t a one-size-fits-all operation. They have different “windows” or loan products, and understanding which one fits your needs will save you time and frustration.

The AGSMEIS Loan Scheme

This is the Agri-Business/Small and Medium Enterprise Investment Scheme, and it’s probably your best bet if you’re just starting out or looking to expand. Here’s why it’s popular:

• Up to N10 million loan amount
• 5% annual interest rate (incredibly low by Nigerian standards)
• 7-year tenure with 18 months moratorium
• Covers agricultural value chain, manufacturing, ICT, and creative industries

The catch? Mandatory training through a CBN-approved Entrepreneurship Development Institute (EDI). Think of it as business school in a week.

On-Balance Sheet Lending (OBSL)

This is NMFB’s more traditional lending product. It’s for established businesses that need straightforward loans without the EDI training requirement. The terms and requirements may differ from AGSMEIS, and it’s typically for businesses with proven track records.

Other Products

NMFB also offers Household TCF, SME TCF, and Non-Interest facilities for customers who prefer Sharia-compliant financing options.

The AGSMEIS Route: Your Step-by-Step NIRSAL Loan Application Process

Alright, let’s get into the nitty-gritty. The AGSMEIS route is the most popular path, so I’ll break it down step by step.

Step 1: The Mandatory EDI Training (Your Golden Ticket)

This is where most people either succeed or fail. You cannot skip this step. Here’s what you need to know:

What is EDI Training? EDI stands for Entrepreneurship Development Institute. These are CBN-approved training centers that teach business management, financial planning, and entrepreneurship skills.

How to Find an EDI:

• Visit any UBA branch and ask for the list of EDI centers in your state
• Check NMFB’s website (nmfb.com.ng) for approved EDI locations
• For Lagos residents: The Lagos State Ministry of Agriculture runs EDI training at their Oko-Oba Agege center

What Happens During Training:

• One-week intensive program covering business planning, financial management, and industry-specific knowledge
• You’ll receive a certificate which is mandatory for your loan application
• Cost varies by location – contact your chosen EDI for current fees

Step 2: Prepare Your Bankable Business Plan

Don’t panic – the EDI training usually helps with this. Your business plan needs to cover:

• Executive summary of your business idea
• Market analysis and competition assessment
• Financial projections showing how you’ll repay the loan
• Details of equipment or working capital you need

Pro tip: Be realistic with your projections. Overly optimistic numbers are a red flag for loan officers.

Step 3: Submit Your Application on the NMFB Portal

Once you have your EDI certificate, it’s time to go digital:

• Visit the official AGSMEIS Application Portal: agsmeisapp.nmfb.com.ng/app/agsmeis/loan-application
• Create an account and complete the online application
• Upload your EDI certificate and business plan
• Select your preferred NMFB branch for account opening

Important: Some applications require you to specify NMFB as your preferred disbursing bank when applying through EDI centers.

Step 4: Application Review and Due Diligence

Here’s where patience becomes your best friend. NMFB will review your application and the CBN conducts its own assessment. This includes:

• Verification of your business registration and other documents
• Assessment of your business viability and repayment capacity
• Possible interview about your business plans

Timeline: Be prepared for this to take several weeks to months. Government processes aren’t known for speed, but they are thorough.

Step 5: Loan Approval and Disbursement

If approved, here’s what happens:

• You’ll be contacted with approval notification
• For equipment purchases: NMFB often pays vendors directly rather than giving you cash
• For working capital: Funds are deposited into your NMFB account for withdrawal
• All purchases must go through NMFB-certified vendors for equipment loans

NIRSAL Loan Application Checklist: Required Documents

Here’s your complete checklist to avoid back-and-forth trips:

Essential Documents:

• ✓ EDI Certificate from CBN-approved training institute
• ✓ Comprehensive business plan (often developed during EDI training)
• ✓ Valid Bank Verification Number (BVN)
• ✓ Valid government-issued ID card
• ✓ Passport photographs
• ✓ Guarantor information and photo

For Registered Businesses:

• ✓ CAC Certificate of Incorporation or business name registration
• ✓ Tax Identification Number (TIN)
• ✓ Current Tax Clearance Certificate (where applicable)
• ✓ Evidence of business address

Additional Requirements:

• ✓ Letter of introduction from clergy, traditional ruler, or senior civil servant (for micro enterprises)
• ✓ Bank account with NMFB (will be opened during the process)

NIRSAL Loan Success Stories: Real Results from Real People

Success Story: Agricultural Value Chain Financing

“The anchor borrowers’ initiative is one of the most successful agricultural programmes in the country. The programme has particularly raised the living standards of farmers, while changing the narratives on agricultural investments in Nigeria.”

– Adenike Ogunjenrola, Maize Farmer

Her experience with NIRSAL-backed programs shows how quality inputs and guaranteed markets transform farming operations. The cashless disbursement system eliminated her repayment worries since harvest proceeds automatically settled the loan.

What Types of Businesses Qualify for NIRSAL Loans?

The good news is that NMFB casts a wide net. AGSMEIS covers:

Agricultural Sector:

• Input supply (seeds, fertilizers, equipment)
• Production (farming, livestock, fisheries)
• Storage and processing (warehouses, mills, processing plants)
• Logistics and marketing (transportation, retail)

Manufacturing and Real Sector:

• Manufacturing businesses
• Mining operations
• Petrochemical industries

Service Sector:

• Information and Communication Technology (ICT)
• Creative industries (media, arts, entertainment)
• Other activities as determined by the Bankers’ Committee

Frequently Asked Questions (FAQ) about NIRSAL Loans

Common Mistakes That Kill NIRSAL Loan Applications

Based on feedback from successful applicants, here are critical mistakes to avoid:

Documentation Errors:

• Submitting incomplete business plans – EDI training helps, but ensure your plan is comprehensive
• Missing or expired certificates – keep all documents current
• Inconsistent information across different documents

Application Process Mistakes:

• Skipping EDI training or trying to use fake certificates
• Choosing wrong loan product – understand whether you need AGSMEIS or OBSL
• Unrealistic financial projections that don’t match your business capacity

Post-Approval Issues:

• Not maintaining your NMFB account properly
• Trying to divert loan funds for unauthorized purposes
• Poor communication with loan officers during the process
• Challenges with Global Standing Instruction (GSI): While GSI is meant to aid loan recovery, some applicants have reported issues. As one Lagos-based fashion entrepreneur, who completed repayment in 2023, shared:”Every month, they take ₦5,000 or ₦10,000 from my other bank accounts. I’ve submitted all evidence of repayment, written letters, and visited their office four times. Nothing has changed. I feel helpless.” — Lagos-based fashion entrepreneur, quoted in BusinessDay (May 7, 2025) This highlights the importance of meticulous record-keeping of your repayments and promptly following up on any discrepancies.

Alternative NIRSAL Products: Beyond AGSMEIS

If AGSMEIS doesn’t fit your needs, consider these options:

Consumer Asset Finance Facility (CAFF): Up to N5 million for purchasing household items, electronics, vehicles. This is for personal rather than business use.

On-Balance Sheet Lending (OBSL): Direct lending without EDI training requirement. Better for established businesses that need straightforward loans.

Non-Interest Facilities: Sharia-compliant financing options for customers who prefer Islamic banking principles.

Conclusion: Is the NIRSAL MFB Loan Right for You?

Let’s be honest – the NMFB loan process isn’t for everyone. If you’re looking for a quick, no-questions-asked loan, this probably isn’t your best option. The EDI training requirement alone can take weeks, and the entire process from start to finish can stretch for months.

But here’s why it might be worth it: where else can you get up to N10 million at 5% annual interest with minimal collateral requirements? Traditional banks are charging 20-30% interest rates, if they’ll even consider your application.

The mandatory EDI training, while initially annoying, actually serves a purpose. It gives you business management skills that many entrepreneurs lack, and the certificate signals to lenders that you’re serious about your business.

Academic research further supports the dual nature of these programs. A study on the impact of NIRSAL Microfinance Bank facilities on SMEs noted:

“Findings of the study revealed that the bank’s facilities have considerably enhanced the growth of SMEs in terms of increased income creation, employment generation, and expansions but with some challenges in assessing the facility; such as application process difficulties and delay in funds disbursement…” — Yakubu, D. A., & Danjuma, A. N., “Assessing the Impact of Nirsal Microfinance Bank Facility on Small and Medium Enterprises in Lokoja Local Government Area Kogi State, Nigeria,” IDEAS/RePEc (2024)

This underscores that while NMFB loans have a significant positive impact, applicants should be prepared for the process’s inherent challenges.

NIRSAL MFB loans work best for:

• Patient entrepreneurs willing to follow a structured process
• Businesses in agriculture, manufacturing, or ICT that align with CBN priorities
• Borrowers who need substantial amounts (N1-10 million range)
• First-time loan applicants who can benefit from business training

This might not be for you if:

• You need funds urgently (within weeks)
• You’re unwilling to complete training requirements
• Your business doesn’t fit AGSMEIS categories
• You prefer informal lending arrangements

Ready to take the plunge? Start by researching EDI centers in your area and preparing for that one-week training. Remember, every successful NMFB borrower started exactly where you are now – with questions, concerns, and a business dream that needed funding.

The path isn’t always smooth, but for many Nigerian entrepreneurs, it’s been the bridge between having a great idea and building a successful business.

Have you completed EDI training or applied for an NMFB loan? Share your experience in the comments – your insights could help fellow entrepreneurs navigate this process more effectively! And if you’re also considering other government programs, check out our comprehensive guide on how to apply for the Anchor Borrowers’ Programme to compare your options.

Official Resources & Application Links:

• NIRSAL Microfinance Bank (NMFB) Official Website: nmfb.com.ng
• AGSMEIS Application Portal: agsmeisapp.nmfb.com.ng/app/agsmeis/loan-application
• CBN AGSMEIS Overview Page: cbn.gov.ng/DFD/msmes/agsmeis.html
• CBN AGSMEIS Guidelines (October 2020 Revision PDF): cbn.gov.ng/Out/2020/CCD/AGSMEIS%20Guidelines%20(Revised%20%20version2)%20Resolutions%2021%20final.pdf