NELFUND Urges Student Leaders to Champion Interest-Free Loan Scheme

The Chief Executive Officer of the Nigerian Education Loan Fund (NELFUND), Akintunde Sawyerr, has urged student leaders across Nigerian tertiary institutions to take full ownership of the federal government’s interest-free student loan scheme.

Speaking at the Day 4 session of the Stakeholders Engagement and Technical Workshop held in Abuja, Sawyerr emphasized the importance of student union leaders and the National Association of Nigerian Students (NANS) in ensuring the scheme reaches all eligible students.

“We need your leadership and engagement to raise awareness, refine the process, and maximize the scheme’s impact,” Sawyerr said. He noted that the initiative aligns with President Bola Tinubu’s Renewed Hope Agenda, which prioritizes education, inclusion, and empowerment.

NELFUND’s Executive Director of Operations, Iyal Mustapha, stressed the need for institutions to verify student applications promptly. “Without confirmation from schools, we can’t disburse the funds,” he said, adding that institutions must do their part to avoid unnecessary delays.

Mustapha reiterated that the scheme aims to reduce student dropout rates by covering institutional charges and providing monthly upkeep allowances. “This loan removes financial barriers. There’s no interest, no guarantor, no harassment—just commitment to education,” he explained.

He also clarified that loan repayment begins two years after completing the National Youth Service Corps (NYSC), and only if the beneficiary is employed. In cases of death or permanent disability, the loan is waived.

Meanwhile, NANS President, Olushola Oladoja, raised concerns over alleged sabotage by some institutions, revealing that a five-man committee has been set up to investigate discrepancies between NELFUND’s disbursements and student notifications. “We won’t tolerate institutions withholding information. We’ll work with NELFUND and relevant anti-corruption agencies to ensure transparency,” he said.

Umar Lawal, a final-year student at Bayero University, Kano, praised the federal government for fulfilling its promise but called for improved accountability among institutions.

The education loan scheme is designed to support students across Nigeria with tuition and upkeep, ensuring no one is left behind due to financial constraints.