NELFUND Clarifies Student Loan Policy As Enugu College Makes It Compulsory

The Nigerian Education Loan Fund (NELFUND) has clarified that accessing student loans is voluntary, following a directive by the Enugu State College of Education (Technical), Enugu, which has made the facility compulsory for all fresh and returning students in its Nigeria Certificate in Education (NCE) and degree programmes.

The college, in an internal memorandum dated October 6, 2026, directed all students to enrol for and access the loan for the 2026/2027 academic session, irrespective of their financial circumstances.

The directive contrasts with NELFUND’s position that the scheme is designed to assist students who genuinely need financial support to pursue their education, rather than compel everyone to borrow.

In a statement issued in Abuja on Wednesday and signed by its Director of Strategic Communications, Oseyemi Oluwatuyi, the fund said students who could afford their educational expenses were under no obligation to apply for or access the facility.

“The decision to apply for and access the loan should be based on an individual student’s financial circumstances and genuine need for assistance,” NELFUND said.

It added that making access to the facility compulsory for all students would contradict the scheme’s fundamental purpose.

“NELFUND’s objective is not to encourage every student to borrow, but to ensure that every eligible Nigerian student who genuinely needs financial assistance has the opportunity to access it.

“The student loan scheme is a support mechanism, not an obligation,” the fund stated.

The clarification followed a memorandum issued by the college’s Acting Registrar, Patrick A. Aneke, which explicitly declared the loan compulsory for students in both NCE and degree programmes.

The memo stated: “This is to bring to the knowledge of all College students and indeed the College Community that it is now compulsory for every student (both in NCE and Degree programmes) to enrol and access the Nigeria Education Loan Fund (NELFUND).”

It further directed all fresh and continuing students to visit the college’s NELFUND Desk Officer, Dr Rufina Agu, to apply for the facility for the 2026/2027 academic session.

The registrar also instructed “all Deans/Directors, HODs (Academics) and the Student Union Government” to inform students accordingly.

NELFUND explained that the scheme was established to remove financial barriers to higher education, promote equal access to learning opportunities, and ensure that eligible Nigerian students were not denied education due to financial constraints.

The fund urged tertiary institutions, student leaders and other stakeholders to provide accurate information about the scheme and guide students who genuinely require financial assistance on how to apply.

It also reiterated that the loan was interest-free but carried repayment obligations under the Student Loans Act.

“Students are therefore encouraged to understand the terms and conditions of the scheme and make informed decisions before applying,” the fund said.

The development has brought renewed attention to how tertiary institutions implement the Federal Government’s student loan initiative, particularly when students who can pay their fees independently are directed to access a loan.

While the scheme seeks to ease the financial burden of higher education, NELFUND’s clarification emphasises that students should make borrowing decisions based on their individual financial needs.