The Nigerian Education Loan Fund (NELFUND) has clarified the disbursement figures for its student loan program, refuting earlier inaccurate reports that claimed over N104 billion had been disbursed. As of February 3, 2025, the Fund has disbursed a total of N32,893,010,000, encompassing both institutional fees and student upkeep allowances. Specifically, N20,074,050,000 has been paid to various tertiary institutions covering the fees of 192,906 students, while N12,818,960,000 has been distributed directly to 169,114 students as upkeep allowances, providing each student with a monthly stipend of N20,000. This clarification comes amidst public scrutiny and aims to ensure transparency and accountability in the management of the newly established student loan scheme.
The student loan initiative represents a cornerstone of President Bola Tinubu’s administration’s efforts to reform the education sector. Recognizing the financial barriers faced by many Nigerian students seeking higher education, the program aims to bridge the gap by providing affordable loans to cover tuition and other academic expenses. The Access to Higher Education Act, signed into law shortly after Tinubu’s inauguration and reenacted earlier in 2025, establishes the legal framework for the loan program and designates NELFUND as the responsible body for its administration. The Fund’s mandate encompasses the entire loan cycle, from processing applications and awarding loans to disbursing funds and ultimately recovering loan repayments.
NELFUND has received a substantial volume of applications, totaling 364,042 as of the February 3, 2025 reporting date. The disbursement figures indicate that a significant portion of applicants have already received funding, with over half receiving institutional fee payments and a slightly smaller number receiving upkeep allowances. The difference in the number of students receiving each type of disbursement suggests a possible phased approach to disbursement, with institutional fees being prioritized to secure student enrollment, followed by the distribution of upkeep allowances to support students’ living expenses.
The meticulous clarification of disbursement figures underscores NELFUND’s commitment to maintaining transparency and building public trust in the student loan program. By proactively addressing misconceptions and providing accurate updates, the Fund aims to foster confidence in its operations and ensure accountability in the utilization of public funds. This transparent approach is crucial for the long-term success and sustainability of the program, which relies on public support and confidence. Accurate reporting also assists in informing public discourse and enabling constructive feedback on the program’s implementation.
The student loan scheme, facilitated through NELFUND, holds immense potential for transforming access to higher education in Nigeria. By easing the financial burden on students, particularly those from low-income backgrounds, the program aims to increase enrollment rates and foster a more skilled and educated workforce. This, in turn, is expected to contribute to broader economic development and social progress. The success of the program will hinge on efficient management, effective loan recovery mechanisms, and continuous adaptation to the evolving needs of the education sector.
NELFUND’s continued commitment to transparency and efficient management will be crucial for realizing the transformative potential of the student loan scheme. By providing regular and accurate updates on disbursements, application processing, and other key performance indicators, the Fund can build public trust and ensure accountability. Furthermore, continuous evaluation and refinement of the program based on feedback from students, institutions, and other stakeholders will be essential for its long-term success and its ability to truly expand access to higher education for all deserving Nigerian students.
