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FG sets-up committee to review NELFUND operations across varsities

By
Prnigeria
-
May 14, 2025
NELFUND
NELFUND

FG sets-up committee to review NELFUND operations across varsities 

The Federal Government has initiated a comprehensive review of the Nigerian Education Loan Fund (NELFund) operations in universities across the country, following widespread allegations of irregularities in student loan disbursements.

Minister of Education, Dr. Maruf Alausa, made the announcement on Wednesday in Abuja while addressing journalists after a meeting with university Vice Chancellors and the Managing Director of NELFund.

Dr. Alausa revealed that a multi-stakeholder committee has been constituted to examine existing procedures and propose improvements. The committee includes representatives from the National Universities Commission (NUC), Vice Chancellors, NELFund, and officials from the Ministry of Education.

According to the Minister, the committee’s mandate includes reviewing and standardising the processes for loan disbursement, student notification, and inter-agency coordination to enhance transparency and efficiency.

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“We assessed the current procedures used by NELFund and universities in disbursing and managing student loans. While the system is functional, it clearly needs to be streamlined and improved,” Alausa said.

He added that one of the committee’s primary responsibilities is to harmonise the different fee terminologies used by universities, which often cause confusion during loan processing.

“Part of the committee’s terms of reference includes standardising the nomenclature for university charges and setting clear timelines for when NELFund will disburse funds to institutions,” he stated.

Dr. Alausa clarified that the review is not intended to dismantle existing systems but to enhance them for better service delivery.

“The current framework is working, but it can be made more efficient. We want to ensure that students are informed promptly, and that funds are disbursed and utilized transparently,” he said.

The committee has been given a three-week deadline to submit its report to the Ministry. A final set of guidelines will then be developed and released to universities and the public within four weeks.

“These reforms are aimed at building trust in the student loan system and ensuring it works effectively for all beneficiaries,” Alausa concluded.

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