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Nigeria Education Loan Fund (NELFUND) to Sponsor Skill Acquisition Programs

The development of skill acquisition programs in Nigeria is about to receive a boost through sponsorship from the Student Loan Scheme. More Nigerians can now acquire various skills of their choice, even if they do not currently have the funds for the training. The funds will be provided by the Federal Government through the Student Loan Scheme and payable in part after the completion of training.

This was made possible by a directive given to the management of the Nigeria Education Loan Fund (NELFUND) by President Bola Ahmed Tinubu to expand the scope of the interest-free loan for Nigerian students to include those interested in skill development programs.

The President issued the directive in Abuja last week after being briefed by the executive secretary of NELFUND, Dr. Akintunde Sawyerr, who said it was important for the scheme to accommodate those who might not want to pursue university education, stressing that skill acquisition is as important as obtaining undergraduate and graduate academic qualifications.

The Nigerian Education Loan Fund (NELFUND) is one of the re-assured hopes on the agenda of President Tinubu as contained in the Access to Higher Education Act, 2023. The Act, mostly referred to as the Student Loan Law, seeks to provide loans primarily for less privileged Nigerian students to pay fees at any Nigerian tertiary institution.

The Act empowers NELFUND to handle all loan requests, grants, disbursements, and recuperations of the loans provided. NELFUND will get its funding from multiple channels, which include:

  1. One percent of all profits accruing to the federal government from oil and other minerals.
  2. One percent of taxes, levies, and duties accruing to the federal government from the Federal Inland Revenue Service (FIRS), Nigeria Immigration Service (NIS), and Nigerian Customs Service (NCS).
  3. Education bonds and education endowment fund schemes.
  4. Donations, gifts, grants, endowments, and revenue accruing to the fund from any other source, according to the Act,.

How to Apply

The Fund will soon roll out the modality for application. However, the Executive Secretary of the Fund, Dr. Sawyerr said the loan application process will be technology-driven, limiting human interaction and eliminating any possibility of mismanagement in the program. He also said that NELFUND had developed a robust risk mitigation mechanism to address potential risks that might arise from the program.

This means that the application will be online through a dedicated registration portal. Stay tuned to this website to get the latest update as soon as the application form is available.

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