By Peter Omopo
The Nigeria Education Loan Fund (NELFUND) is under growing scrutiny as graduates from public tertiary institutions raise alarm over delayed disbursements and irregularities in the student loan scheme, with fresh allegations of mismanagement and corruption.
Several ex-students who spoke to The PUNCH revealed that their tuition fees were only paid to their institutions months after they had already graduated and settled their bills through alternative means. Despite no longer being enrolled, some of them continue to receive the N20,000 monthly upkeep stipend meant for active students.
The loan scheme, initially introduced to support financially disadvantaged students, is now mired in controversy following revelations from the National Orientation Agency (NOA) and an ongoing investigation by the Independent Corrupt Practices and Other Related Offences Commission (ICPC).
According to preliminary findings by the ICPC, out of the N100 billion released by NELFUND, only N28.8 billion reached the intended student beneficiaries, leaving a staggering N71.2 billion unaccounted for.
The NOA further alleged that some higher institutions, in collaboration with certain banks, deliberately delayed the disbursement of funds in order to profit through unauthorised deductions and backdoor transactions. Reports indicated deductions ranging from N3,500 to N30,000 were made from tuition fees processed via the loan scheme.
The National Association of Nigerian Students (NANS) has condemned the development and threatened nationwide protests, describing the situation as a betrayal of trust and a major setback for students who had placed their hopes on the loan programme.
“The current state of the student loan scheme is unacceptable,” NANS stated. “We will not stand by while students are defrauded, and funds meant to ease educational burdens are siphoned by corrupt officials and institutions.”
The controversy surrounding NELFUND comes amid broader concerns about transparency and accountability in Nigeria’s education financing system.
