Student Loan: NELFUND announces allocation of N2.5 billion to institutions nationwide
The disbursement aims to ensure that students in genuine need of financial assistance can continue their education by alleviating the burden of financial constraint
The Nigerian Education Loan Fund (NELFUND) has announced the ongoing disbursement of student loans, totalling N2.5 billion, to various institutions nationwide.
Nasir Ayitogo, the spokesperson of NELFUND, made this announcement in a statement on Friday via its official handle.
Ayitogo stated that the student loans will benefit 22,120 students across many institutions in the country.
He emphasized that the disbursement aims to ensure that students in genuine need of financial assistance can continue their education by alleviating the burden of financial constraints.
“This strategic effort aims to ensure that students who really need the funds can continue their education by lowering the burden of financial constraints,” Ayitogo said.
Six Institutions Received N2.06 billion
The spokesperson stated further that six out of the twelve institutions have received full payment of their institutional fees, which cover over 20,000 students.
He added that the total amount disbursed to these institutions stands at approximately N2.02 billion.
NELFUND mentioned that the remaining six institutions will receive their payments in the coming week.
“So far, six of the twelve institutions have received full payment of their institutional fees, covering over 20,000 students. The total amount disbursed to these institutions stands at approximately N2,026,163,340. A further six will receive their payments in the coming week.
“These disbursements will ensure that Nigerian students can proceed with their academic activities unimpeded, fostering peace of mind much needed for these students and their families,” he added.
NELFUND Commences Upkeep Fund to Students
The management also announced the rolling out of the upkeep funds for students.
He mentioned that the initiative will provide essential financial support for living expenses.
He added that a total of N442 million has been allocated for July.
“In addition to the institutional fees, NELFUND has also commenced the payment of upkeep to students.
“This initiative will provide essential financial support for living expenses. A total of N442,400,000 has been allocated for the month of July.
“The upkeep payments will benefit all 22,120 students across the twelve institutions, with more to come in the coming weeks and months, reflecting the federal government’s commitment to the overall well-being and academic success of Nigerian students in government institutions,” he noted.
The revised Student Loan Act 2024 aims to remove financial barriers and make education more accessible to all Nigerian students, regardless of their economic background.
The primary sources of funding for NELFUND include a percentage of taxes, levies, and duties collected by the Federal Inland Revenue Service (FIRS), Nigerian Immigration Service, and Nigerian Customs Service, amounting to 1% of their total revenues.
Additionally, the fund will receive contributions from the profits generated by the government’s natural resource exploitation, education bonds, endowment fund schemes, and donations from individuals and organizations.
The loans will cover tuition, fees, and maintenance costs. The repayment process will begin two years after the beneficiary completes the NYSC program.
