A framework for the administration of the Student Loan Scheme established under the Student Loans (Access to Higher Education) Act, 2024 for public tertiary institutions has been released by the Nigerian Education Loan Fund (NELFUND).
The organisation said the guidelines were designed for seamless implementation of the programme, ensuring transparent, inclusive, and accountable processes for Nigerian students seeking financial support for their education.
The guidelines were issued in line with Section 23(3) of the Student Loans Act 2024 and mark a significant milestone in the government’s commitment to ensuring inclusive access to higher education, reducing dropout rates, and fostering socio-economic mobility.
The federal government under President Bola Tinubu introduced the initiative to allow Nigerian students in public universities, polytechnics, and colleges of education received funding support for the completion of their studies in the country.
NELFUND said students eligible for the scheme are Nigerian citizens with valid admission into an Eligible Tertiary Institution (ETI) and provide key identification such as NIN, BVN, and JAMB details.
It stated that all loan requests would be processed via the NELFUND online portal, requiring accurate personal, academic and KYC information.
The organisation disclosed that approved loans would be disbursed directly to institutions to cover tuition and institutional charges, while optional upkeep allowances may be paid directly to students.
As for repayment, beneficiaries will begin repayment two years after completing NYSC or exemption, with 10 per cent of income remitted monthly under PAYE or self-employment models.
It noted that institutions are obligated to verify applications within 20 working days, process refunds where necessary, and comply with reporting requirements. Breaches may attract sanctions, including suspension from the scheme.
“This initiative goes beyond providing loans; it is about removing financial barriers to education, fostering skills development, and building a future where every Nigerian student can achieve their potential regardless of background.
“These guidelines provide the roadmap for institutions and students to access the scheme transparently and effectively,” the Managing Director of NELFUND, Mr Akintunde Sawyerr, stated.