NELFUND: Nigerian Govt Says Student Loans Are Not Compulsory for Tertiary Students
The Nigerian Education Loan Fund (NELFUND) has clarified that students in Nigerian tertiary institutions are not required to apply for the Federal Government’s student loan scheme, stressing that the decision rests on each student’s financial circumstances.
The Fund made the clarification in a statement issued on Wednesday and signed by its Director of Strategic Communications, Oseyemi Oluwatuyi. It explained that the interest-free loan was introduced to help students who struggle to pay their education expenses.
According to NELFUND, the programme aims to ensure that financial difficulties do not prevent qualified Nigerians from pursuing higher education. However, the agency stressed that the scheme is intended for students who genuinely need financial assistance, rather than a requirement for everyone enrolled in a tertiary institution.
“The objective is not to encourage every student to borrow, but to ensure that every eligible Nigerian student who genuinely needs financial assistance has the opportunity to access it,” the Fund said.
NELFUND also warned against practices that could create the impression that students must take loans to continue their studies, regardless of their financial position. Students who can independently cover their tuition and other education-related expenses are free to continue their studies without applying for the facility.
Although the loan carries no interest, the Fund reminded prospective applicants that beneficiaries are required to repay the money in line with the provisions of the Student Loans Act. It therefore advised students to understand the terms and conditions before applying.
The agency described the scheme as an important measure for expanding access to higher education, particularly for students whose academic progress could be affected by a lack of funds. It encouraged tertiary institutions, student leaders and other stakeholders to provide accurate information about the programme.
NELFUND’s clarification is intended to distinguish access to financial assistance from an obligation to borrow. Students considering the scheme are encouraged to assess their needs carefully, understand the repayment requirements and make an informed decision before submitting an application.