Presidency Replies Obi, Says Student Loan Fund Is Strategic Investment, Not Waste

The Presidency has berated the former presidential candidate of Labour Party, Mr. Peter Obi over recent comments credited to him where he described the Nigerian Education Loan Fund (NELFund) as a wasteful venture.

Senior Special Assistant to the President on Student Engagement, Hon. Sunday Asefon, in a statement on Thursday, faulted Obi’s claims, saying his uncomplimentary comments about an agency that is doing so much to empower young Nigerians and expand access to tertiary education did not reflect the reality on ground.

“The recent comment credited to His Excellency, Mr. Peter Obi, describing the Nigerian Education Loan Fund (NELFund) as wasteful, is deeply unfortunate and does not reflect the realities on ground or the aspirations of millions of Nigerian youths who depend on access to tertiary education for national progress.

“NELFund is not a wasteful venture, but a strategic investment in human capital development, deliberately designed to provide unflinching access to tertiary education for Nigerian students, irrespective of socio-economic background.

“Education remains the strongest foundation for sustainable development, social stability, and economic growth,” Asefon stated.

The Presidential aide maintained that it takes a visionary leader like President Bola Tinubu, who clearly understands the critical role of education funding as the only guaranteed pathway to quality and inclusive education, to initiate and sustain an intervention of this magnitude.

Asefon further stated that policies of this nature are not driven by politics but by foresight, compassion, and national interest.

“It is therefore unbecoming of the status of His Excellency, Mr. Peter Obi, for such a sweeping condemnation to be made against an initiative that has directly benefited over 940,000 Nigerian students across 218 tertiary institutions nationwide, covering both tuition fees and student upkeep.

“As at Wednesday, 28th January 2026, the total amount disbursed under the NELFund scheme exceeds ₦174.5 billion, with billions more set to be accessed by eligible Nigerian students who meet the required criteria.

“No reasonable or responsible political actor should dismiss an intervention that is transforming lives at this scale.
Beyond access to education, NELFund delivers far-reaching social benefits, including: Reduction in youth unemployment and desperation, significant decline in crime rates linked to school dropouts, promotion of social inclusion and equal opportunity and strengthening of Nigeria’s future workforce and leadership pipeline.”

“NELFund has emerged as one of the most popular and impactful government initiatives, with direct, measurable impact on Nigerian youths and the student community,” the statement added.

The Presidential aide stressed that NELFUND is a policy that deserves national applause, not political dismissal.

“We therefore urge His Excellency, Mr. Peter Obi, to refrain from making disparaging comments on mass-oriented and people-centered policies that are clearly delivering hope and opportunity to millions of Nigerian families,” he added.