Across Nigerian campuses, a new education reality is unfolding as students who once faced the possibility of dropping out are finding renewed hope through the Nigerian Education Loan Fund (NELFUND).
For decades, financial hardship has remained one of the biggest barriers to higher education in Nigeria, forcing thousands of talented students to postpone or abandon their academic aspirations. For some, the inability to pay tuition fees has resulted in prolonged academic breaks, while others have struggled silently to remain in school.
However, more than two years after its establishment, NELFUND is gradually changing the narrative for many students. Beyond the billions of naira disbursed, the impact of the scheme is increasingly reflected in personal stories of survival, academic excellence and restored hope.
As of early July 2026, the Fund had disbursed about N303.91bn to more than 1.64 million student beneficiaries across Nigeria, supporting institutional fees and upkeep allowances. It has also expanded its reach to over 350 tertiary institutions nationwide.
The student loan initiative became fully operational after President Bola Tinubu assented to the re-enacted Student Loan Act on April 3, 2024, while the application portal was launched on May 24, 2024.
Unlike conventional loans, the facility is interest-free and provides financial support for tuition fees and monthly upkeep allowances for eligible students in tertiary institutions and vocational centres. Repayment begins two years after completion of the National Youth Service Corps scheme and only when beneficiaries become gainfully employed.
At the centre of the implementation has been the Managing Director and Chief Executive Officer of NELFUND, Akintunde Sawyerr, whose leadership has driven the Fund’s expansion through nationwide sensitisation campaigns, stakeholder engagements and improvements to the loan application process.
Since assuming office in 2024, Sawyerr has overseen the onboarding of hundreds of institutions, strengthened transparency in disbursements and promoted direct payment of institutional charges to beneficiary schools.
Beyond the statistics, however, the true measure of NELFUND’s impact lies in the stories of students whose academic journeys have been transformed.
For 300-level University of Lagos student, Migwe Nicholas, the intervention has been the difference between continuing his education and dropping out.
Nicholas, a Theatre Arts and Film Studies student, said he is the only member of his family to reach university. After leaving his sister’s home following disagreements with her husband, he currently lives in his local church while studying.
“I’m the only person in my family that has made it to university. I’m using student loan to fund myself through school right now. I live in my local church while schooling. I don’t have my own apartment right now,” he said.
Born into a financially challenged family, Nicholas said he had considered abandoning his education before applying for the student loan scheme.
NELFUND currently covers his tuition fees, allowing him to continue his studies despite his difficult circumstances.
“I’m not complaining about the stipend. As long as they pay my school fees and I’m able to register my courses, that’s fine,” he said.
While Nicholas’ story reflects the role of NELFUND in expanding access, another story from Ladoke Akintola University of Technology (LAUTECH) highlights how the scheme is also supporting academic excellence.
Oladepo Olugbenga, the overall best graduating student of LAUTECH for the 2024/2025 academic session, graduated with a CGPA of 4.89 out of 5.00 in Electronic and Electrical Engineering.
Growing up in a rural community in Osun State without electricity for several years, Olugbenga described NELFUND’s support as crucial to completing his final year.
“I’m honoured to let you know that I am the Best Graduating Student of LAUTECH. Your loans made this possible,” he stated.
Similarly, Augustine Oreoluwa, another First Class graduate of LAUTECH with a CGPA of 4.61 out of 5.00, described the student loan scheme as a major support that allowed him to focus on his studies instead of financial struggles.
The impact of NELFUND has also been reflected in student retention across institutions.
Minister of Education, Dr Tunji Alausa, recently disclosed that requests for leave of absence by students of Olabisi Onabanjo University, Ogun State, dropped from about 3,000 annually to zero following the introduction of the student loan scheme.
According to the minister, the development shows that financial difficulties remain a major reason many students suspend their education, and reducing that burden has helped more students remain in school.
The OOU experience demonstrates that the success of NELFUND is not only about the number of beneficiaries reached but also about keeping students on track towards graduation.
Like similar initiatives around the world, the scheme has faced concerns surrounding disbursement timelines, verification processes and long-term sustainability. However, the growing number of beneficiaries and success stories suggest that the intervention is gradually reshaping access to higher education in Nigeria.
Ultimately, the legacy of NELFUND may not only be measured by the billions of naira disbursed or the millions of students reached, but by the dreams preserved and futures protected.
From a UNILAG student living in a church while pursuing his academic ambition to a LAUTECH graduate who emerged best in his class, NELFUND is becoming a symbol of how targeted education support can change lives.
Credit: The Guardian
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