Category: News | Read time: 4 min read | Tags: Tinubu, Student Loan, Education, NELFUND, Nigeria
President Bola Tinubu on Friday signed a new executive order expanding the Nigerian Education Loan Fund (NELFUND) programme, making it easier for tertiary students to access interest-free loans to cover tuition and accommodation costs. The signing took place at the State House in Abuja and was witnessed by the Minister of Education and the Executive Director of NELFUND.
The new order raises the maximum loan amount from N200,000 to N750,000 per academic year, extends eligibility to include students in polytechnics and colleges of education (previously limited to universities), and removes the requirement for a civil-servant guarantor — a clause that had been the biggest barrier to uptake according to internal government data.
How the programme works
NELFUND provides federal government-backed loans to Nigerian students in accredited institutions. The loans are repayable two years after graduation, at zero interest rate, and are tied to the student’s National Identification Number (NIN) for tracking purposes. Repayment is structured as a percentage of income, capped at 10% of monthly earnings.
Since the programme launched in 2024, approximately 180,000 applications have been received, but only 41,000 disbursements completed — a gap the government attributes to documentation bottlenecks and the guarantor requirement.
What students are saying
Reaction from students has been largely enthusiastic, though some have raised concerns about the digital process. “I applied four months ago and I am still waiting. The website keeps giving errors. Signing an order is one thing, the implementation is the problem,” said Chiamaka Obi, a 300-level student at University of Nigeria, Nsukka.
The National Association of Nigerian Students (NANS) released a statement welcoming the expansion but called on the government to set up physical assistance centres at all institutions to help students who lack the technical know-how to navigate the online portal.
Eligibility criteria
To qualify for the expanded loan, students must be admitted into an accredited public tertiary institution, have a valid NIN and Bank Verification Number (BVN), maintain a minimum CGPA of 1.5, and not have previously defaulted on any government loan. Applications are submitted via the NELFUND portal at nelfund.gov.ng.
Chukwu Vincent Ogbonnia is the founder and lead editor of Viralarena, a Nigerian digital media platform covering breaking news, music, and sport. Based in Abuja, Vincent is a content creator passionate about telling Nigerian stories with speed, accuracy, and cultural authenticity.
Chukwu Vincent Ogbonnia is the founder and lead editor of Viralarena, a Nigerian digital media platform covering breaking news, music, and sport. Based in Abuja, Vincent is a content creator passionate about telling Nigerian stories with speed, accuracy, and cultural authenticity.
