Defaulters Will Not Face Pressure, Says FG

 

The Nigerian Education Loan Fund (NELFUND) has assured students they will not be pressured if they fail to repay their Federal Government student loans on time. This assurance comes as 260 federal and state institutions have been added to the scheme, with over 360,000 students now registered.

Speaking at a sensitization event at Ebonyi State University (EBSU), Abakaliki, on Thursday, NELFUND Managing Director Akintunde Sawyerr stressed that the loan is interest-free and that repayment starts two years after the completion of the National Youth Service Corps (NYSC), provided the student is employed. He added that the Establishment Act allows applicants to inform the agency if they are still unemployed after this period.

Sawyerr stated, "Loan repayment starts two years after graduation and NYSC. If you are not yet working, you will not be required to start repayment. So, don’t let financial constraints stop you from pursuing an education."

The event was held in collaboration with the leadership of the National Association of Nigerian Students (NANS), headed by President Lucky Emonefe, who urged students to take advantage of the loan and assured them that it is accessible to all students, not just a few privileged individuals.

Chioma Nweze, Senior Special Assistant to the President on Community Engagement (South East), pointed out that the meeting was organized to address the low interest shown by students in the South East in accessing the loan. She encouraged them to utilize this opportunity, which is open to all Nigerian students regardless of region, background, or political affiliation.

Prof. Chigozie Ogbu, Vice Chancellor of EBSU, acknowledged the challenges encountered during the application process and urged NELFUND to resolve these issues to make the process smoother. He also assured NELFUND of the institution’s commitment to assisting students in accessing the loan.

According to the NELFUND website, as of October 3, 2024, 260 institutions have joined the platform, with more than 360,000 students registered and 267,984 loan applications submitted. Over 45,440 students have benefitted from the program so far, and the first phase, launched on May 24, 2024, aims to support up to 1.2 million students.