Less than two years after the Federal Government disbursed education loans to tertiary institution students under the Nigerian Education Loan Fund (NELFUND), beneficiaries are now being asked to begin repayment. Akahi News gathered that the directive followed the release of official repayment guidelines circulated to institutions nationwide.
At the University of Benin (UNIBEN), a circular dated January 23 and signed by the Registrar, A. A. Bobola, formally notified affected students of the repayment procedure and urged strict compliance to avoid delays in confirmation.
UNIBEN Circular Outlines Two-Step Repayment Procedure
According to the circular obtained by Akahi News, the university management confirmed receipt of official guidelines from the Federal Government on how beneficiaries should repay their student loans.
“This is to inform all students of the University of Benin who are beneficiaries of the Nigerian Education Loan Fund (NELFUND) that the University Management has received the official guidelines for the repayment of student loans,” the circular stated.
The document further highlighted that students must strictly adhere to a two-step repayment procedure. Beneficiaries were advised to follow the outlined steps carefully to avoid any delay in confirming their loan repayment status.
Members of the university community, particularly affected students, were therefore urged to take note and comply accordingly. Akahi News learnt that similar instructions may soon be circulated across other federal and state-owned institutions benefiting from the scheme.
Repayment Request Comes Barely Two Years After Disbursement
The call for repayment has generated conversations among students and education stakeholders, as the loans were introduced less than two years ago to ease the financial burden on undergraduates and other tertiary students.
In 2024, President Bola Tinubu signed into law the Act establishing NELFUND, paving the way for structured access to education loans for Nigerian students. The initiative was widely welcomed as a strategic intervention to improve access to higher education amid rising tuition and living costs.
However, the latest repayment directive suggests that the implementation phase has now transitioned into recovery and sustainability, ensuring the continuity of the loan programme for future beneficiaries. Akahi News gathered that institutions have been instructed to ensure accurate documentation and verification during the repayment process.
NELFUND Disbursement Figures Highlight Scheme’s Scale
Earlier in January, the Managing Director of NELFUND, Akintunde Sawyerr, disclosed impressive statistics on the performance of the scheme. According to him, a total of 1,361,011 applications had been received nationwide.
Out of this number, about 864,798 students have so far benefited from the loan programme, with total disbursements estimated at ₦161.97 billion. These figures underscore the massive scale of the intervention and the financial commitment made by the Federal Government to support tertiary education.
Akahi News gathered that the repayment phase is expected to strengthen the revolving nature of the fund, enabling more students to access educational financing in the coming years.
What This Means for Students and Institutions
Education analysts believe that the repayment rollout marks a critical test of the sustainability and accountability of the NELFUND scheme. While the loans have helped thousands of students remain in school, effective recovery will determine the long-term success of the programme.
Students are advised to promptly engage with their institution’s registry or designated offices to understand the repayment steps clearly and avoid penalties or administrative delays. Universities, on their part, are expected to provide guidance and ensure transparency in the process.
As developments continue, Akahi News will monitor reactions from students, institutions, and policymakers to assess the broader impact of the repayment directive on Nigeria’s higher education landscape.
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By Joseph Iyaji | Akahi News
Joseph Iyaji is a journalist, educator, and founder of Akahi G. International, Akahi Tutors, and Akahi News. Read more about him here.
Akahi News www.akahinews.org
