NELFUND Celebrates Transformational Impact, Calls for Private Sector Partnership to assist Nigerian students

The Nigerian Education Loan Fund (NELFUND) has ignited a transformation which is aimed disenabling financial obstacles and unlocking higher education access for thousands of young Nigerian youths

More than just a funding initiative, the agency is fast establishing itself as a driver of national progress, reshaping access, equity, and opportunity in Nigeria’s education landscape.

Marking its first anniversary, NELFUND did not celebrate with pomp, but with purpose—emphasizing its role as a national intervention set to redefine Nigeria’s future. However, for its mission to fully succeed, private-sector collaboration is essential to complement government efforts in transforming educational access.

At a hybrid media engagement held in Abuja, Managing Director and CEO, Akintunde Sawyerr, highlighted the agency’s accomplishments with compelling figures: 645,692 applications and 396,252 disbursements—interest-free loans for tuition and upkeep—across all 36 states and the Federal Capital Territory. This has translated into over ₦73.2 billion invested directly into students’ futures.

Yet, beyond statistics lies a powerful narrative: renewed hope for first-generation students and a redefinition of education as vital national infrastructure, reflecting President Bola Ahmed Tinubu’s Renewed Hope Agenda, which centers youth in governance reform.

NELFUND’s journey began with the passage of the Student Loans (Access to Higher Education) Act in March-April 2024, empowering the agency to commence operations by May. Its launch, according to Sawyerr, symbolized “a promise to Nigerian students… a bridge to opportunity, equity, and national transformation.”

It was a practical response to the wave of dropouts due to economic hardship—many students, despite being in their final years, were unable to afford fees. NELFUND responded with digital innovation, efficient disbursement systems, and infrastructure rivaling global financial aid platforms.

A strategic milestone has been the fund’s expansion into Technical and Vocational Education and Training (TVET), reaching beyond university students to support skills-based learners. Nearly one million TVET applications have been received, highlighting the country’s appetite for skill acquisition.

Beyond financing, NELFUND is developing a job portal—set to launch in 2026—to connect graduates with employment opportunities from local and international employers. “We don’t just give loans—we support their journey toward economic independence,” Sawyerr said.

NELFUND’s empathetic repayment structure is another standout feature:

Two-year grace period after NYSC before repayment begins.

Repayment is 10% of monthly salary and starts only when the beneficiary is employed.

Deductions stop if the person resigns, is laid off, or dies. In the event of death, the loan is cancelled.

Sawyerr emphasized: “If you don’t have a job, you don’t pay. And when you eventually get a job, your repayment starts afresh.”

Despite progress, challenges remain. Sawyerr acknowledged delays in verification, misinformation, and schools refusing to refund students who had paid upfront. Some institutions even hiked fees dramatically—from ₦200,000 to over ₦2 million—leading NELFUND to suspend disbursement to about 10 schools.

To resolve verification issues, NELFUND integrated with institutional portals through APIs, allowing for real-time data validation and significantly improving efficiency.

Where refunds are still pending, Sawyerr urged institutions to reimburse students or return the funds to NELFUND. The ICPC and EFCC are already investigating petitions, signaling a commitment to accountability.

Culturally, resistance to borrowing persists in regions like the South-East and South-South, where loans—even interest-free—are viewed with skepticism. Sawyerr clarified the need for transparency: this is a loan, not a grant, and public messaging must reflect that.

Nonetheless, the program aims for inclusive participation across all regions—from conflict-affected areas in the North to economically strong Southern states—with a focus on equity.

To maintain trust, NELFUND has developed a public transparency dashboard displaying real-time disbursements and loan data, a move intended to attract private-sector confidence.

Sawyerr called on the media to help shape public understanding—not just through data, but through the human stories and national relevance of the program.

His most urgent message was a call for partnership: government cannot shoulder the financial burden alone. He invited banks, tech firms, philanthropies, and corporations to join in providing funding, digital platforms, and mentorship. “This is your moment too,” he said, presenting the initiative as a shared national responsibility.

Drawing inspiration from Malaysia’s public-private student loan model, NELFUND aspires to build a sustainable system through collective effort.

Looking ahead, NELFUND plans to extend its coverage to private tertiary institutions within three years, further expanding its reach and inclusiveness.

Ultimately, the vision is to establish a nationwide, digital, and dependable student loan system that meets global standards.

This one-year milestone is not an endpoint but a reaffirmation of purpose. With over 396,000 students supported and ₦77 billion disbursed, the focus now shifts from numbers to impact.

Whether it’s a future lawyer, a rural tech student, or a market-woman’s daughter aiming for a medical degree—these individual journeys form the foundation of national transformation.

As Sawyerr concluded, “We are custodians of national trust. We cannot afford to walk alone.” The challenge now is whether Nigeria’s private sector will step forward.

NELFUND is no longer just a financing program—it is a national movement, redefining how Nigeria invests in its future. It tests the strength of federal systems, institutional resilience, cultural adaptability, and most importantly, the will of Nigeria’s corporate community.

The past year has proven that transparent, data-driven, empathetic systems can work. But such systems need partners willing to turn collective hope into action.

For every business leader, educator, banker, and philanthropist, this is a defining moment: to help shape the future—one student, one loan, one opportunity at a time.