The Nigerian Education Loan Fund (NELFUND) has announced the successful disbursement of over ₦77 billion in interest-free loans to 396,252 students across Nigeria during its first year of operation.
This disclosure was made by the Managing Director and Chief Executive Officer of the Fund, Mr. Akintunde Sawyerr, during a hybrid media engagement held to commemorate NELFUND’s one-year anniversary. He noted that the disbursement covered students in all 36 states and the Federal Capital Territory (FCT), reflecting nationwide reach.
According to Sawyerr, as of July 17, 2025, a total of 645,692 formal loan applications had been submitted through the NELFUND digital portal, out of which 94% had already been processed. He explained that ₦41.7 billion of the total funds disbursed were paid directly to 210 tertiary institutions as tuition and mandatory fees, while ₦35.3 billion was allocated as upkeep allowances for the beneficiaries.
Out of 675,212 students registered on the portal, only 324,202 applicants have successfully secured the loans so far. Sawyerr attributed the delay or unsuccessful outcomes for some applicants to issues such as incomplete data submission and verification delays—mostly from the institutions themselves. He stressed that the system is fully digital and built to global standards, ensuring transparency, traceability, and ease of processing.
Sawyerr further expressed concern over misinformation surrounding the scheme, particularly in parts of southern Nigeria, which has reportedly discouraged some students from applying. He assured the public that the Fund remains committed to improving its systems, engaging stakeholders more effectively, and resolving any grievances promptly.
He encouraged students to take full advantage of the scheme, emphasizing its flexibility and interest-free nature. According to him, repayment will only begin after beneficiaries have completed their mandatory one-year National Youth Service Corps (NYSC) and are gainfully employed. The repayment model involves automatic deductions of 10% from the beneficiary’s monthly income, remitted directly to NELFUND.
He added, “If you are not employed after NYSC, repayment will not commence. Repayment only starts when you earn, and even then, it’s structured to be convenient and gradual.”
In conclusion, Sawyerr commended President Bola Tinubu for initiating the student loan scheme, stating that it would significantly boost enrollment, retention, and improve academic outcomes for students across Nigeria.
