Student Loan Scheme: NELFUND Releases N154bn to Support Over 788,947 Nigerian Students

Funmi Ogundare

Nigeria Education Loan Fund (NELFUND) has disbursed more than N154 billion to support 788,947 students across 262 public tertiary institutions nationwide, as part of the federal government’s drive to expand access to higher education, Managing Director of the Fund, Mr. Akintunde Sawyerr, has said. Sawyerr, who disclosed this yesterday while briefing journalists virtually, stated that the disbursement included over N82 billion paid directly to institutions for students’ fees and more than N72 billion released as upkeep stipends, with beneficiaries receiving a N20,000 monthly allowance.

He explained that the student loan scheme operated under the revised NELFUND Act, signed into law by President Bola Tinubu on April 3, 2024, following the repeal of the earlier law enacted in June 2023.

He said the repeal was necessary to remove restrictive provisions that would have excluded many Nigerians, including the N500,000 household income ceiling, the absence of a student stipend, and the requirement for guarantors.

“With the new law, students are supported not only through payment of their institutional fees but also with monthly upkeep to enable them live and study with dignity,” Sawyerr said.

He stated that applications for the loan were processed entirely online through the NELFUND portal to eliminate human contact and ensure transparency.

Eligible applicants must be Nigerian students admitted through JAMB into public universities, polytechnics or colleges of education, possess a National Identification Number (NIN), and have a verified bank account.

Sawyerr revealed that the fund had so far received over 1.26 million applications, explaining that the difference between applications and beneficiaries is due to verification processes, repeat applications by some students, and delays in confirmation from institutions.

He added that NELFUND verified admissions directly with institutions before funds were released and had made provisions for first-year students awaiting matriculation numbers by allowing the use of JAMB registration numbers.

Addressing concerns over trust and accountability, the managing director said the fund published its figures daily and maintained a complete electronic trail of all payments.

“Students can see when and how much was paid, and institutions confirm receipt of funds. This level of transparency allows anyone to question, verify or challenge our records,” he said.

Sawyerr also stated that the fund had embarked on nationwide sensitisation, engaging more than 105,000 students, as well as governors, traditional rulers and community stakeholders across the country, stressing that the scheme is a national, non-partisan project.

He reiterated that the loans were interest-free and repayment will only commence two years after completion of the National Youth Service Corps (NYSC) and upon securing employment.

“The president is committed to ensuring access to education at all levels. Our responsibility is to ensure that this commitment works effectively at the tertiary level,” Sawyerr said, urging students to apply for the scheme in order to relief their parents of going to look for money.

He also thanked the media for their partnership, stating that there is an attempt to politicise the scheme in Nigeria.

“We must stop the negative talk and try to move the country forward,” Sawyerr stated.