The Managing Director of the Nigerian Education Loan Fund (NELFUND), Akintunde Sawyerr, has clarified why the Fund cannot pay institutional fees for newly admitted students until they complete their registration and matriculation processes.
Speaking in an interview with the News Agency of Nigeria in Abuja, Sawyerr said that releasing funds before students are fully enrolled would expose the government to significant financial risks.
“If we pay fees for students who have not entered, what if they change their minds and don’t go to the schools anymore? We cannot just say because somebody has been admitted to a school, we will pay the fees before registering or matriculating,” he asked.
He explained that paying tuition prematurely would amount to “disbursing against intention”, which could lead to large-scale losses. Many admitted candidates, he noted, often alter their plans—dropping out, switching courses, or gaining admission to institutions outside Nigeria.
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Sawyerr added that one of the significant operational challenges lies in the admission process itself, as students require matriculation numbers to access the loan. The Fund is now working with tertiary institutions to introduce a temporary solution.
“We are trying to work with the schools to see how those who have registered can use their JAMB registration number as a substitute,” he disclosed.
He noted the growing number of genuine applicants facing delays because matriculation numbers are only issued after payment and formal enrolment—creating a cycle the Fund is working to break.
Reflecting on NELFUND’s early challenges, the managing director said the original legislation, signed on 12 June 2023, contained several restrictive provisions.
“One of the flaws was the requirement for a guarantor, which we saw as a difficult position to put students in,” he said.
He also criticised the income threshold that excluded households earning above ₦500,000 annually, calling it unrealistic in today’s economic climate.
Sawyerr revealed that these shortcomings prompted President Bola Tinubu to push for the repeal of the 2023 Act, leading to the new Education Loan Act, signed in May 2024. The revised framework, he said, expanded access, introduced student upkeep allowances, and simplified the application process.
He expressed satisfaction with the progress since the relaunch, noting that the platform has remained stable despite high traffic and that funds have been successfully disbursed to thousands of students and their institutions.
“NELFUND has become a lifeline for students who might otherwise have abandoned their education,” he remarked, thanking the President for his leadership.
