By Taiwo Scholarstica
President Bola Ahmed Tinubu has ordered that funds recovered by the Economic and Financial Crimes Commission (EFCC), alongside unclaimed dividends and balances in dormant bank accounts, be channelled to the Nigerian Education Loan Fund (NELFUND) to strengthen the Federal Government’s student loan programme.
The directive is aimed at expanding financial support for tertiary education, enabling more Nigerian students to access interest-free funding.
The move aligns with the administration’s broader strategy to redirect recovered and idle financial assets toward high-impact sectors, particularly education and human capital development.
The development comes as demand for student financing continues to grow across public tertiary institutions nationwide.
NELFUND has been disbursing institutional fees and upkeep allowances to eligible students since the rollout of the loan scheme.
The Managing Director of NELFUND, Mr. Akintunde Sawyerr, recently disclosed that the fund had disbursed more than ₦322 billion to beneficiaries.
According to him, approximately ₦192 billion was allocated for institutional fees, while about ₦129.8 billion was disbursed as monthly upkeep stipends.
The figures reflect the expanding scale of assistance provided to students and underline the need for sustainable funding channels as applicant numbers rise.
The student loan scheme operates as an interest-free revolving fund. Repayment is linked to post-graduation income, with beneficiaries expected to remit 10 percent of their earnings once gainfully employed, while repayments remain suspended during periods of unemployment.
The President’s directive will assist NELFUND in broadening its coverage and securing the long-term viability of the programme.
By injecting additional capital into the fund, the government aims to eliminate financial barriers that hinder qualified Nigerian youths from completing higher education.