The Nigerian Education Loan Fund (NELFUND) has clarified that its student loan scheme is voluntary and intended for students who genuinely require financial assistance to pursue their education.
The agency’s clarification followed social media reports alleging that students of Enugu State College of Education (Technical) were being compelled to apply for the loan.
In a statement issued in Abuja on Wednesday and signed by its Director of Strategic Communications, Mrs Oseyemi Oluwatuyi, NELFUND stressed that no student in any Nigerian tertiary institution is under an obligation to apply for or access the facility.
The agency explained that the scheme was established to remove financial barriers to higher education, improve access to learning and ensure that eligible students are not forced to abandon their academic pursuits because of financial difficulties.
According to NELFUND, students who can adequately meet their educational expenses without financial assistance are free to opt out of the scheme, as compelling them to borrow would contradict the initiative’s fundamental purpose.
It stated that the decision to apply for the loan should depend entirely on each student’s financial circumstances and genuine need for support.
“NELFUND’s objective is not to encourage every student to borrow, but to ensure that every eligible Nigerian student who genuinely needs financial assistance has the opportunity to access it,” the agency said.
NELFUND further noted that the loan is interest-free and designed to help beneficiaries manage the financial demands of higher education, including expenses that might otherwise prevent them from continuing their studies.
However, it cautioned that the facility is not a grant, explaining that beneficiaries are expected to fulfil repayment obligations in accordance with the provisions of the Student Loans Act.
The agency urged tertiary institutions, student leaders and other stakeholders to provide accurate information about the scheme and guide students in making informed decisions about whether to apply.
It emphasised that such guidance was necessary to prevent misinformation, address concerns surrounding the loan and ensure that students who genuinely require financial support understand how to access the facility.
NELFUND reiterated its commitment to expanding access to higher education by ensuring that financial hardship does not prevent eligible Nigerian students from achieving their academic aspirations.
