Federal Government Reviews Student Loan Programme, Launches Reform Panel

The Federal Government has initiated a comprehensive review of the Nigerian Education Loan Fund (NELFund) operations in universities nationwide, following mounting allegations of fraud in the disbursement process.

Minister of State for Education, Dr. Morufu Tunji Alausa, announced the review after a meeting in Abuja with university Vice Chancellors and the NELFund Managing Director.

He stated that the review seeks to improve transparency, ensure fair allocation, and streamline management of the student loan scheme.

To lead this process, a multi-stakeholder reform committee has been established, comprising representatives from universities, the National Universities Commission (NUC), NELFund, and the Ministry of Education.

The committee has been tasked with examining the current disbursement procedures, student notification systems, and overall management of the loan programme.

Dr. Alausa noted that while the system is operational, it lacks uniformity and must be refined to better serve students and institutions.

One of the key objectives is to standardize university charges and synchronize loan disbursement schedules with institutional calendars to prevent delays and improve accessibility.

The committee is expected to submit its report within three weeks, paving the way for new national guidelines to be finalized and published within a month.