Tinubu Directs New Funding for Nigerian Education Loan Fund

President Bola Ahmed Tinubu has opened a new funding channel for the Nigerian Education Loan Fund (NELFUND) by directing the transfer of legally cleared funds recovered by the Economic and Financial Crimes Commission (EFCC) to the student loan scheme. Additionally, unclaimed dividends from capital market trust funds and funds in dormant accounts will also be considered for transfer to NELFUND, as per the laws governing these funds.

Minister of Education, Dr Maruf Tunji Alausa, announced this on Monday, emphasizing the need for NELFUND to be financially sustainable as its obligations grow. Only EFCC-recovered funds free from litigation will be eligible for transfer.

The Attorney-General of the Federation will collaborate with the Ministers of Finance and Education to establish the legal framework for this directive. The new funding streams will complement NELFUND's existing 15 percent allocation from the development levy.

Currently, over 1.2 million students benefit from NELFUND, with more than ₦322 billion disbursed for institutional fees and upkeep allowances as of August 8.