The Managing Director of the Nigerian Education Loan Fund (NELFUND), Akintunde Sawyerr, has revealed that the government led by President Bola Tinubu has disbursed a total of N110 billion in loans to students enrolled in public institutions across the country.

Sawyerr made this announcement during the inauguration and induction of members of NELFUND Servicom in Abuja on Tuesday, December 10, 2024

According to the NELFUND boss, the disbursement amount is subject to change due to frequent loan distributions.

He explained that NELFUND operates through a two-step process, where applicants must first register before applying for a loan.

"We currently have about 417,000 students registered on our portal, and 328,000 of them have actually applied."

“We’ve recently approved a new batch of loans amounting to N110 billion, which will be distributed to students in various forms.

“Approximately 60% of this amount will go directly to institutions to cover full tuition fees, while 40% will be allocated for students' upkeep. The upkeep portion is slightly less than the total fee,” he added.

Sawyerr also estimated that NELFUND’s financial commitment to students in government-owned tertiary institutions, including universities, polytechnics, and colleges of education, is around N2.1 million.

“We process around 1000 new applications daily, with the peak reaching 9,000 applications in one day.

“It’s important to note that while students may register but not immediately apply for a loan, they are still captured in the system, which is why there is a gap between the 417,000 registrants and the 328,000 applicants,” he said.

Speaking on the terms for repayment, Sawyerr noted that the government has made it favorable for students.

"This loan is interest-free.

“Students repay exactly what they borrow, and they do not begin repayments until two years after completing their National Youth Service Corps (NYSC). At that time, they must report their employment status to us," he explained.