FG CCT Loan | Conditional Cash Transfer Requirements

The CCT loan of  ₦25,000 monthly Funds to poor Nigeria begins. According to the presidential spokesman, the CCT was part of efforts by the Tinubu-led administration to alleviate the immediate effect of the removal of subsidy on Premium Motor Spirit (PMS), known as petrol.


She said that the new initiative would empower the poor and most vulnerable members of society, adding that the sum was a source of uplifting the majority of beneficiaries.

In a recent interview, Tinubu spoke on Cash Transfers (CCT) Funds. He stated that the programmer will be able to reach 609 local governments, 6,272 wards, and 48,789 communities. And that over 15 million households will benefit.

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Federal Government CCT Loan: How it Works

While NCTO’s mandate is to deliver the targeted cash transfer across the country, the actual implementation happens at the state level through the State Cash Transfer Unit (SCTU).

Conditional cash transfer programs give money to households on the condition that they comply with certain pre-defined requirements.

These conditions can include, for example, up-to-date vaccinations, regular visits to a health care facility, regular school attendance by children, and compliance with health and nutrition promotion activities (e.g. attending education sessions, taking nutritional supplements, etc.).

CCT Loan programs are aimed at reducing poverty as well as breaking the cycle of poverty for the next generation through the development of human capital.

Current evidence suggests that conditional cash transfer programs can be effective in increasing the use of health services and improving health outcomes including nutritional status, however, further research is needed before specific recommendations can be made.

SCTU manages and coordinates the targeted cash transfer and livelihood intervention.

Each local government area establishes a cash transfer team to implement activities at the community level. This is to help:

  • Improve household consumption.
  • Increase in utilization of health and nutrition services.
  • Improve school enrolment and attendance.
  • Improve environmental sanitation and management.
  • Encourage household financial and asset acquisition.
  • Engage beneficiaries in sustainable livelihood.

Federal Government CCT Loan Requirements

  • Full Name
  • Phone Number
  • Bank verification Number (BVN)
  • Your residential House address
  • Bank account (To receive your loan funds)
  • Next of Kin Full Name and Phone Number

Also, the finance minister said a biometric auditing system would be put in place to ensure efficiency and accountability in the disbursement of the funds to beneficiaries.

CCT Loan Benefits

CCTs have resulted in sizeable reductions in poverty among recipients—especially when the transfer has been sufficient, well-targeted, and structured in a way that does not discourage recipients from taking other actions to escape poverty.

Because CCTs provide a steady income, they have helped protect poor households from the worst effects of unemployment, catastrophic illness, and other sudden income shocks.

And making cash transfers to women, as virtually all CCTs do, may have increased their bargaining power.

CCT Loan programs can be very effective in reducing poverty in the short term since they have helped to increase household income and consumption in poor families.

They have also worked effectively in increasing school enrollment and attendance, especially in middle school.

A substantial improvement in the health and nutrition of the children who benefit from these programs has been acknowledged.

However, studies by the UNDP have shown that conditional cash transfers neither represented a significant increase in the quality of education and in learning nor significantly increased salaries, once the recipients entered the labor force.

Most CCT loan programs are very well-targeted and effective in reaching the poor and the excluded groups, notably the extremely poor living outside the reach of social protection programs tied with formal sector employment. On average, 80% of the benefits go to the 40% poorest families.

The programs have also promoted equality of gender since they provide larger funds to girls since they often drop out earlier, so it has increased their enrollment and attendance to secondary levels of education.

In the long run, these investments may also yield to significant changes in women’s empowerment and insertion in economic networks

Conditions of CCT Loan

The most common barriers found in getting any type of CT to a family include inadequate identification of beneficiaries; lack of funding or high cost of access to the program; and lack of awareness of the program

Also, Some of the shortcomings of cash transfers are that they often overlook culture, community organization, and social relations.

By doing so, they fall in a self-fulfilling trap, once the intervention ends, once the household stops receiving money as an incentive, old habits and costumes come back.

carrying large sums of cash can be risky, making both the buyer and seller vulnerable to theft or robbery. Cash transactions also do not offer the same level of protection as other forms of payment, such as credit cards or online payment systems.


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