The Nigerian Education Loan Fund (NELFUND) has announced measures to address tertiary institutions failing to inform students of loan disbursements made on their behalf, with warnings of strict action.
Additionally, NELFUND revealed that some institutions have continued to demand fees from students despite receiving loan payments.
This misconduct undermines the Fund’s efforts to provide financial relief and ensure access to higher education in Nigeria.
The issue, which was highlighted by NELFUND’s Managing Director Akintunde Sawyerr during a press briefing set to take place soon, stems from institutions neglecting to update students on their loan status.
Managing Director of NELFUND, Akintunde Sawyerr, made the announcement while addressing journalists in Abuja on Thursday, as outlined in a Fund statement released Friday.
“The Managing Director of NELFUND, Mr. Akintunde Sawyerr has revealed that the widely-discussed student loan programme will soon enforce stricter oversight by NELFUND leadership as part of efforts to address the financial needs of Nigerian students, regardless of institution or course,” the statement read in part.
It added, “Mr. Sawyerr explained that the student loan programme is designed to provide funds for tuition and upkeep, eligible students, disadvantaged groups, and continuing scholars, covering both public and private institutions.
“Regarding the management of disbursements, the Managing Director explained that institutions must notify students of loan payments made on their behalf, adding that non-compliant institutions will face penalties. The remaining cases of non-disclosure will be addressed through sanctions imposed on institutions found to be deceptive in practice.”
Sawyerr also noted that the measures are expected to be implemented within a month from the statement’s release.
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The oversight will be supported through NELFUND’s Student Financing Framework (SFF), which is dedicated to ensuring transparent loan distribution.
Each institution will be required to maintain accurate records, including payment logs, student notifications, fee updates, and compliance reports, ensuring a reliable process for beneficiaries.
The statement further highlighted that this loan disbursement initiative is part of a broader national education strategy that also encompasses the expansion of NELFUND Digital Platforms and NELFUND Outreach Programmes, aimed at offering long-term, accessible funding solutions throughout the country.
By enforcing compliance from institutions and addressing deceptive practices, NELFUND aims to foster an inclusive education system that is accessible to all Nigerian students.