NELFUND Confirms Student Loans Are Repayable; Receives Over 760,000 Applications

Port Harcourt, Rivers State, Nigeria — The Nigerian Education Loan Fund (NELFUND) has affirmed that the Federal Government’s student education loan program is repayable but interest-free, while revealing that more than 760,000 students have applied for the scheme.

Speaking during a one-day capacity-building event for students at the University of Port Harcourt, the Managing Director of NELFUND, Mr. Akintunde Sawyer, explained the loan structure designed to ease access to tertiary education. Beneficiaries receive a monthly upkeep stipend directly, currently set at ₦20,000, while school fees are paid straight to their institutions.

Mr. Sawyer stated, “As of today, we pay ₦20,000 a month, equating to ₦240,000 per session per student. The loan is repayable but carries no interest. It is the employer’s responsibility, with the loanee’s consent, to deduct 10 percent from the graduate’s salary to repay the loan.”

NELFUND has disbursed over ₦80 billion so far, with about 400,000 students presently benefiting from the program nationwide. Applications continue to pour in steadily, with 2,700 received within the last 24 hours alone.

Repayment obligations begin two years after beneficiaries complete the National Youth Service Corps (NYSC), contingent on their employment status. Repayments continue monthly as long as the graduate is employed until the loan is fully settled.

Complementing these remarks, Comrade Asefon Sunday, Senior Special Assistant to the President on Students Engagement, highlighted that NELFUND and the allocation of funds to 15 universities for innovation hubs align with President Bola Tinubu’s youth-centric policies focusing on enhancing education quality and student empowerment.

He emphasized the need to raise awareness among students nationwide, stating, “There is low awareness, and not enough accurate information is reaching students about the initiatives under President Tinubu’s administration. We have a President who listens and believes quality education is the enduring legacy for our youth.”

Additionally, President Tinubu recently approved initiatives to equip universities across the six geopolitical zones with renewable energy systems to improve infrastructure and learning conditions.

The capacity-building event served as a platform for student leaders to engage, seek clarifications, and ensure equitable access to these vital educational opportunities regardless of background or geographic location.

By Enoch Odesola | August 10, 2025