The Nigerian Education Loan Fund (NELFUND) has disbursed a total of N84.2 billion to 258,943 students as of September 2024.
This was disclosed by Gboyega Isiaka, Chairman of the House of Representatives Committee on Polytechnic and Higher Technical Education, representing Yewa North/Imeko-Afon Federal Constituency in Ogun State.
According to Isiaka, out of 351,317 students who registered on the NELFUND portal, 258,943 applied for either institutional or upkeep loans.
The breakdown of the disbursed amount shows N27.5 billion for institutional fees and N56.7 billion for upkeep facilities.
Speaking at the 36th annual conference of Federal Government College, Maiduguri Old Students Association held at Mitros Residences, Abeokuta, Isiaka emphasized the significance of the Students Loan Access to Higher Education Act, 2024.
“The new bill removes obstacles that previously disqualified student applicants based on their parents’ loan history, while the guarantor requirement has been eliminated,” Isiaka explained. “Applicants can apply for loans to cover tuition fees, other school fees, and maintenance allowances.”
Isiaka highlighted key features of the new bill saying:
“The new bill eliminates the family income threshold, enabling all Nigerian students to apply for loans and accept responsibility for repayment according to the Fund’s guidelines. Beneficiaries will begin repayment two years after completing the National Youth Service Corps, but can request an extension by providing an affidavit indicating they are not employed and receiving no income.”
Isiaka noted that in cases of death or acts of God causing inability to repay, the loan will be forgiven. However, providing false statements to the Fund under the loan repayment section is considered a felony, punishable by imprisonment for three years.
Isiaka praised President Bola Ahmed Tinubu’s administration for resuscitating the student loans initiative, initially launched in 1972. “This is a game-changer for widening Nigerians’ access to affordable and qualitative higher education,” he concluded.