- Appeals To Institutions To Refund Double Payments To Students
- To Open Job Portal For Early Employment Access
THE NIGERIAN Education Loan Fund (NELFUND) says it has disbursed over N73.2 billion in interest-free loans to 396,252 students across Nigeria’s 36 states and the FCT; marking a significant milestone in the Fund’s first year of operation.
Speaking at a media engagement in Abuja on Thursday, NELFUND Managing Director, Akintunde Sawyerr, reflected on the progress since the initiative was inaugurated by President Bola Tinubu.
He said a total of 645,692 loan applications had been received, with 94 per cent processed from 206 tertiary institutions nationwide.
“For the first time in our nation’s history, students are gaining structured, interest-free access to education finance through a national public fund,” Sawyerr stated.
He described the programme as a product of political will aimed at rescuing undergraduates at risk of dropping out due to financial constraints.
The initiative, he added, was designed to democratise access to higher education and skill development through sustainable financing.
“Since our application portal opened in May 2024, we’ve seen measurable and meaningful progress.
“Many of the beneficiaries are first-generation students in tertiary institutions,” he said.
Sawyerr also highlighted the digital and transparent nature of the loan system, which enabled seamless processing, tracking, and verification.
However, he acknowledged several challenges, including data mismatches, delays in verification, and misinformation.
In spite of the issues, he reaffirmed NELFUND’s commitment to transparency and continuous improvement.
“We’ve remained steadfast, improving our systems, engaging applicants directly, training institutional focal points, and addressing concerns swiftly,” he said.
Sawyerr warned against the growing wave of misinformation about the Fund on social media, cautioning that it could undermine the initiative’s credibility and purpose.
He urged the public to seek clarification directly from the Fund rather than spreading unverified claims.
Appeals for Refund of double payments to Students
Meanwhile the Managing Director has appealed to tertiary institutions across the country to refund to students who had paid tuition fees before NELFUND’s disbursement to institutions.
Sawyerr warned that institutional non-compliance could jeopardise both public trust and the long-term sustainability of the programme.
He explained that the scheme, launched on May 24, 2024, was fast-tracked by President Bola Tinubu to respond to a growing dropout crisis among university students, many of whom were at the verge of abandoning their education due to economic hardship.
“The president wanted us to quickly start the scheme because there was a recognition that people were dropping out, even those in 300 and 400 level. We had to move, even if it meant starting mid-session,” he said.
Sawyerr acknowledged that the urgency led to a misalignment with academic calendars and institutional deadlines.
He said this resulted in some students paying their fees out-of-pocket, often through desperate borrowing, only for NELFUND to later disburse funds to the same schools on their behalf.
“In such cases, these institutions are morally and professionally obligated to refund the students. Some schools have done the right thing, others have not.
“This has caused unnecessary distress for already vulnerable students,” he said.
Sawyerr said the situation had drawn the attention of Nigeria’s anti-corruption agencies, including the Independent Corrupt Practices and Other Related Offences Commission (ICPC), and the Economic and Financial Crimes Commission (EFCC), following student petitions and media exposés.
“We have been questioned as an organisation. The institutions too have been questioned. We are not shielding anyone. If they can’t refund the students directly, they should return the funds to us, and we’ll ensure the students get their money back.
“There are students out there desperately trying to start their lives, and some institutions are making it harder for them. I appeal to all schools, do the right thing, refund these students,” he said.
He further emphasised the importance of protecting the integrity of the Fund, warning that misinformation could undermine efforts to attract private-sector investment, a key to the scheme’s future viability.
“This is not just about education financing; this is a national transformation project. If you love Nigeria, you will support this programme. We cannot allow false narratives to derail a scheme that has already given hope to thousands of young Nigerians,” he said.
Speaking on skills development, the Executive Director of Operations, NELFUND, Muspaha Iyal, noted that NELFUND was working in partnership with the Ministry of Education to support implementation of the new Technical and Vocational Education and Training (TVET) initiative.
This initiative, he said, had already received nearly one million applications.
Iyal added that while the TVET programme operates on a grant basis, NELFUND would later provide loan-based support to sustain it.
Job portal for early employment access
NELFUND also stated that while the agency does not guarantee jobs, it is developing a centralised job portal to give beneficiaries early access to employment opportunities in Nigeria and abroad.
Sawyerr said the portal would aggregate listings from the public and private sectors, as well as international employers interested in recruiting Nigerians.
This, he said, would commence from 2026. “We don’t just give a loan and leave students on their own. This job portal is our way of supporting their journey towards economic stability,” he said.
He emphasised that students would only begin repayment after securing employment, stressing that this would begin after their National Youth Service Corps (NYSC) scheme.
“If you don’t have a job, you don’t pay. And when you eventually get a job, your repayment starts fresh. Once employed, 10 per cent of the beneficiary’s monthly income is deducted automatically by the employer and remitted to NELFUND, following verification through the NELFUND employment register.
“If an employee is laid off or resigns, the deductions stop. And in the event of death, the loan is written off. The family is not harassed,” Sawyerr added.
Speaking on non-refund of fees to students who had paid before NELFUND disbursed to their institutions, the managing director appealed to institutions to return the fees to such students.
According to him, schools have a moral and professional duty to return these funds to students.
“We’ve received multiple petitions from students who paid under duress only to find their fees had also been paid by NELFUND.
“Institutions must refund this money. It’s disappointing that some schools have ignored this responsibility,” he said.
He noted that investigative bodies like the ICPC and EFCC have stepped in to question certain institutions over delays or refusals to refund.
“If an institution cannot refund directly to the student, they can pay the money back to us and we will ensure it gets to the rightful student,” sawyerr stated.
Speaking on the agency’s projection in the coming years, the Executive Director, Operations, NELFUND, Mustapha Iyal, said the Fund is currently managing over 3.2 million student records in its system.
Iyal, however, said the Fund is projecting one million new applications by the end of 2025.
While saying that the figure was not compulsory, he added that the Fund aimed to ensure no student drops out due to financial hardship.
“Basically, our projection right now, we have about 3.2 million students in our system.
“What we’re looking at this year, from now to the end of the year, we’re looking at about one million applications. We’re not pushing. We’re not saying that it’s compulsory.
“But we’re looking at how we can support one million applications to make sure that no one is dropping out of school,” he said. (NAN)
