The Nigerian Education Loan Fund (NELFUND) has distributed N11 billion to support 90,000 students nationwide in the last six months, according to its Managing Director, Dr. Akintunde Sawyerr.
During an oversight visit by the Senate Committee on Tertiary Institutions and TETFUND, chaired by Muntari Dandutse, Dr. Sawyerr disclosed this significant achievement. He highlighted that the Federal Government had successfully paid tuition fees and stipends for over 90,000 students under the program.
“We have disbursed approximately N11 billion of the N96 billion allocated for student loans. The remaining funds will be distributed over the coming weeks,” he explained.
Loan Structure and Accessibility
Sawyerr elaborated on NELFUND’s two-tier loan system: the Institutional Loan and the Upkeep Loan. While students do not need to apply for the Institutional Loan, they can only access the Upkeep Loan if they have been approved for the former.
“The Institutional Loan is the primary support enabling students to access education. Once this is approved, they can apply for the Upkeep Loan. However, the Upkeep Loan cannot be accessed independently, as it is tied to active enrollment in school,” he added.
Impact and Regional Distribution
Under the Renewed Hope initiative of President Bola Ahmed Tinubu’s administration, the program has witnessed significant reach across Nigeria.
- Northwest: 38% of beneficiaries
- Northeast: 26%
- Northcentral: 12%
- Southwest: 13%
- Southeast: 10%
- Southsouth: 4%
“These numbers have doubled since the program’s inception. We monitor progress month by month to ensure consistent growth,” Sawyerr noted.
Repayment and Sustainability
Highlighting repayment terms, Sawyerr emphasized that the program is not profit-driven but aimed at long-term benefits for students. Repayment begins two years after completing the National Youth Service Corps (NYSC), provided the beneficiary is employed. Employers are responsible for deducting payments from salaries on behalf of beneficiaries.
“This structure ensures that students are not discouraged from accessing education due to financial burdens,” he said.
Senate Commendation and Future Plans
Senator Muntari Dandutse commended NELFUND’s progress, describing it as a monumental development for Nigerian education. He announced plans to establish liaison offices across geopolitical zones to coordinate loans for universities, polytechnics, and federal colleges of education.
“This is a commendable achievement within just six months. Moving forward, more resources will be invested to enhance efficiency and accessibility,” Dandutse stated.
The Senate delegation also visited the Joint Admissions and Matriculation Board (JAMB) headquarters in Abuja as part of their oversight activities.
Source: The Nation Newspaper