The Nigerian Education Loan Fund (NELFUND) has reassured students that those benefiting from its student loan scheme will not face travel restrictions after graduation.
This clarification comes amid concerns that loan recipients might be barred from leaving the country until their debts are fully repaid.
Speaking at a sensitization programme at Edo University, Iyamho, NELFUND Managing Director and Chief Executive Akintunde Sawyerr addressed students’ worries. He made it clear that the law governing NELFUND does not place any restrictions on beneficiaries’ freedom to travel abroad for work or other opportunities.
“The law that set up the Nigerian Education Loan Fund does not limit your ability to go and look for work wherever you want,” Sawyerr stated. “You are not tied. It doesn’t say you cannot leave Nigeria because you have a loan with us. You can go wherever you want to go in the world.“
He, however, urged students to be responsible for repaying their loans, even if they secure jobs outside Nigeria.
“The right and proper thing to do, if you have a loan in Nigeria and want to get a job somewhere else, is to pay the loan back to your country,” he added.
Interest-Free Loan and Disbursement Updates
Sawyerr encouraged students to take advantage of the scheme, noting its benefits compared to other forms of loans. He emphasized that education is a lasting asset and that NELFUND’s structure makes repayment easier.
“NELFUND is different from all other types of loans. It is the only loan you can take to acquire something that can never be taken away from you,” he explained.
He also assured students that the loan comes with an interest-free repayment structure, even if repayments stretch over several years.
Providing updates on the disbursement process, Sawyerr revealed that NELFUND is prepared to release ₦135 billion once all applications are processed.
“We have received about 520,000 registrations and about 419,000 applications. We have processed and paid 261,000 students, covering both upkeep and institutional fees. Our total exposure today, if we were to pay everyone who applied, is around ₦135 billion. But we have not processed all applications yet. We have the money and are ready to disburse once processing is complete.”
Universities Urged to Encourage Applications
University officials have praised the initiative. Acting Vice Chancellor of Edo University, Professor Dawood Egbefo, commended the program, revealing that 51 students from the institution had already benefited from ₦61.4 million in funding for the 2023/2024 academic session.
However, during a sensitization visit to Ambrose Alli University, Ekpoma, NELFUND discussed the issues of low participation. Only 102 students had applied for the loan, leading to disbursements of less than ₦20 million.
Lami Suwaid, Director of Loan Allocation and Distribution at NELFUND, urged the university to encourage more students to apply in the next registration cycle.
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