…as FG begins loan disbursement
Akintunde Sawyerr, the managing director of the Nigerian Education Loan Fund (NELFUND) has expressed concern that tertiary institution students from the southern divide of Nigeria are not applying for loans because most of them doubt the feasibility.
Sawyerr disclosed this while briefing State House correspondents at the Presidential Villa, Abuja after President Bola Tinubu launched the disbursement of loans to applicants on Wednesday.
He said that students from the North applied for the loans more than their counterparts from the South because there was better coordination of the scheme by tertiary institutions in the region.
“In the southern part of the country, there’s growing awareness and interest. There’s been a lot of scepticism, and I think the most sceptical parts of the country are in the South; they question everything: Is it true? Is it real? Is it a scam?
“And I think what you witnessed today with us starting this disbursement programme is to say that ‘this is not ‘No Fund’. This is NELFUND,” he said.
He reiterated that institutions in the northern region of the country have been very proactive in supporting and helping their students, and providing data to the agency; hence, they are the zones with the highest number of applicants.
Sawyerr maintained that those Nigerians who are sceptical about the scheme would soon lose their grounds as more loans were disbursed.
“So, that is where the leaning is currently. But that high adoption in the north is expected because they seem very well organised in terms of networking in the northern part of the country.
“So, I think we’ll see the scepticism that you can find mainly in the southern part begin to disappear when we start paying out,” he noted.
Concerning the agency’s role in creating enough awareness, he said that NELFUND was playing its part to raise awareness in the south, so students in the region would embrace the scheme when disbursements begin.
“We’re trying to ensure that people know this is not a trick, it’s not a game. Mr. President has backed this with cash and we’re going to disburse that cash.
“In terms of the three levels of institutions, the universities are the ones with the highest demand for the loans, and then I think the polytechnics follow it and then the teacher training colleges and I think it’s probably going to remain that way, the bias is going to remain that way,” he said.
However, he explained that students of private institutions were excluded from the scheme because they charged more expensive school fees.
Sawyerr stressed that if the government is saddled with funding private university students, it would be unable to meet the expectations of the initiative.
Moreover, he said that the loan scheme would have a positive impact on many lives in the country.
“The effect of providing this opportunity for the neediest Nigerians, most capable Nigerians in many ways, and the people who probably will look after us, or whose decisions will impact us in our old age cannot be underestimated.
“These are the most important people in the country that we’re trying to affect. So, I want to give all the praise and all the recognition to President Bola Tinubu, for having the vision and the courage to do what he has just done. I’m sure you’ve all heard that fortune favours the brave and this courageous move will bring fortune not just to him but to the entire nation,” he said.
President Tinubu signed into law the Student Loans in April 2024, which is known as the ‘Access to Higher Education; Repeal and Re-enactment Bill’ 2024, which the Presidency said replaces the repealed Student Loan Act, 2023.
The federal government explained that some challenges bordering on governance and management, purpose of the loans, eligibility criteria for applicants, method of application, repayment provisions and loan recovery were addressed in the new law.
The Act seeks to guarantee sustainable higher education and functional skill development for all Nigerian students and youth.
