On Thursday, July 17, the Nigerian Education Loan Fund (NELFUND) organized a media briefing to provide detailed updates on the progress of the Federal Government’s student loan scheme.
The first of its kind hybrid session which held physically for Education correspondents and Editors in Abuja and virtually for their Lagos counterparts, provided a thorough overview of the progeamme’s key achievements, operational structure, and addressed public concerns and challenges.
The briefing was convened by the management team of the Fund, led by its Managing Director/Chief Executive Officer, Akintunde Sawyerr. He was flanked by the Executive Director, Operations at the Fund, Mustapha Iyal, his Finance and Administration counterpart, Frederick Akinfala as well as Board Secretary & Legal Counsel, Funmilayo Alagbada.
Here are the 10 key highlights of the event:
1. ₦73.2billion disbursed to 396,252 students
The agency announced that it has so far disbursed ₦73.2 billion to 396,252 students since it opened application in May 2024.
The Managing Director, Akintunde Sawyerr, explained that the disbursed amount comprised ₦38.3 billion for tuition fees and ₦34.9 billion for upkeep allowances. He noted that students from 206 tertiary institutions across the 36 states and the Federal Capital Territory (FCT) had so far benefited from the scheme.
2. Job portal for applicants
The agency unveiled plans to launch a dedicated job portal for loan beneficiaries by 2026, expected to facilitate loan repayment by helping graduates secure jobs and enhance their repayment prospects.
Sawyerr explained that the job portal would aggregate listings from the public and private sectors, as well as international employers interested in recruiting Nigerians.
“We don’t just give a loan and leave students on their own. This job portal is our way of supporting their journey toward economic stability,” he said.
3. Refund double fees to students
A major concern was the big elephant in the room: institutions receiving double institutional fees from both the Fund and students, raising issues about refunds to the latter.
Addressing the matter, the Managing Director urged tertiary institutions to refund students who paid tuition fees before receiving NELFUND disbursements, warning that non-compliance could undermine public trust and threaten the programme’s long-term viability.
4. Nigeria joins global ranks in student loan innovation
Nigeria will join the league of countries like the United States, United Kingdom, Malaysia, and Japan, with student loan models that combine public and private efforts to increase access to higher education.
According to the NELFUND boss, the government is keen to build a stronger and more efficient student loan system by sharing financial responsibility with private sector partners.
“NELFUND is an organisation that can only be sustained if we have private participation. The government cannot continue to support this 100 per cent financially. As with the student loan scheme in Malaysia, we will eventually need the private sector to wade in, make donations, and commit resources,” he said.
5. ‘A loan is a loan’
Responding to suggestions that the nomenclature be changed from ‘loan’ to ‘grant’ to attract more subscribers and gain broader support, the body rejected the proposal.
“One of the things about lending is that you have to be truthful. You can’t tell somebody you’re giving them a grant and what you’re giving them is a loan. A loan is a loan. We can’t be in the business as a responsible lender of changing nomenclature because we’re desperately trying to get more people to subscribe. And finding ourselves in a position where people feel they’ve been deceived,” the MD explained.
6. Loan written off if applicant dies
The agency clarified that the credit facility is waived once an applicant dies, adding that family members won’t be harassed even if the subscriber hasn’t found a job yet.
Hear him: “If your employer fires you after six months, the payment stops. If you resign after nine months, the payment stops. By God’s grace, no one will die but if anyone dies, the payment stops”.
7. Targets 1million applicants
The Executive Director, Operations, Mustapha Iyal, projected that the Fund will reach one million applicants by the end of 2025.
“We have about 3.2million data of students in our system. From now till the end of the year, we are looking at about 1million applications,” Iyal stated.
8. Digital transformation
NELFUND has deployed a fully digital, transparent loan portal built to global standards, ensuring seamless processing, tracking, and verification.
9. Inclusive framework
The Fund has expanded its framework to include students in technical and vocational training institutions, aligning with national employment and skills development goals.
10. Transparency and collaboration
The Fund also underscored the importance of transparency as a continuous dialogue and tasked media partners to join the process, amplifying credible information and shaping the national narrative.
