The Minister of State for Education, Dr. Yusuf Maruf Tunji Alausa, has assured Nigerians that no funds have been lost and no trust has been compromised in the ongoing disbursement of student loans under the Nigerian Education Loan Fund (NELFUND).
This reassurance follows public concerns over alleged discrepancies and irregularities in the management of the newly introduced student loan scheme. Addressing the issues on Tuesday, Dr. Alausa stated that all disbursements made so far have been carried out with strict adherence to due process, transparency, and accountability.
“There is no evidence whatsoever of financial loss or fraudulent activity in the NELFUND operations. The integrity of the process remains intact,” the Minister said.
The student loan programme, established to support indigent students in public tertiary institutions, had recently come under scrutiny following claims that some institutions were charging excessive fees or improperly deducting from loan funds. However, Dr. Alausa clarified that the confusion stemmed largely from inconsistent fee structures and lack of uniformity in how institutions communicate charges.
To address this, the Federal Government has constituted a harmonisation committee comprising key stakeholders from the Ministry of Education, NELFUND, the National Universities Commission (NUC), and various university authorities. The committee has been tasked with developing a uniform template for institutional charges and aligning them with the provisions of the student loan scheme.
Dr. Alausa reiterated that tuition in federal universities remains free, as enshrined in the government’s policy, but acknowledged that institutions are permitted to charge other legitimate fees. He stressed that such charges must be properly categorised and transparently communicated to both students and loan administrators.
“We are not abolishing necessary institutional charges, but we must ensure that all charges are harmonised, justified, and do not become a burden or a tool for exploitation,” the Minister said.
The harmonisation committee has been given a three-week deadline to submit its report, after which new standardised fee guidelines will be issued across all federal institutions.
Meanwhile, NELFUND has pledged to improve communication with students and institutions to prevent future misunderstandings. It also confirmed that all loan disbursements are directly credited to institutions and earmarked specifically for student fees, in line with the law establishing the fund.
The student loan initiative, a key campaign promise of the Tinubu administration, was created to enhance access to higher education for underprivileged Nigerians. The government maintains that it remains committed to ensuring the scheme achieves its intended purpose with the highest standards of transparency and equity.
