The House of Representatives, on Thursday, said it cannot afford to allow the student loan initiative to be undermined by administrative inefficiencies, regulatory gaps, or deliberate abuse of process.
Speaker Abbas Tajudeen said this at the commencement of investigative hearing into the alleged diversion, non-disclosure and mismanagement of student loan disbursements as well as non-compliance with the Student Loans Act, 2024.
Abbas said the House was particularly concerned by reports suggesting that certain institutions and stakeholders may have colluded to delay or conceal disbursements.
“The credibility of the programme and the trust of the Nigerian people in public institutions are both at stake and we cannot fold our hands and allow this to be swept under the carpet.
“The establishment of the Nigerian Education Loan Fund (NELFUND) through the Student Loans (Access to Higher Education) Act, 2024, marked a bold step towards equitable access to higher education in Nigeria.
“It is one of the most precious legacies of the Renewed Hope Agenda of President Ahmed Bola Tinubu’s administration with over 600,000 applications and more than N73 billion disbursed to students across the country, it represents a landmark policy.
“However, the emergence of troubling reports about alleged diversions, non-compliance, and unethical practices in the disbursement process threatens to derail this important national intervention,” he said.
Chairman of the Joint House Committee investigating the matter, Hon. Ifeoluwa Ehindero, said the student loan initiative had rekindled hope for thousands of Nigerian families with tangible results already being recorded.
“During the period under review, NELFUND has disbursed N73,113,908,543 billion in loans as at Monday 30th June, 2025 with a total of 366,247 student beneficiaries across Federal and State Tertiary Institutions, with 38,262,648,545 allocated to tuition fees and N34,851,260,000 for upkeep allowance to over 206 beneficiary institutions.
“We are not out to witch-hunt anyone. Our objective is to ensure prudent accountability, improve the disbursement process, and add value to all stakeholders,” the lawmaker said.
On his part, the managing director of NELFUND, Akintunde Sawyer, said the Fund has received over 650,000 registrations and processes about 2,000 applications daily.
He explained that all applications go through a verification process, and funds for successful applicants were paid directly to their respective institutions.
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