President Bola Tinubu has approved a new funding arrangement aimed at strengthening the Nigerian Education Loan Fund (NELFUND) as demand for student loans continues to increase.
Newsonspot reports that the Minister of Education, Tunji Alausa, disclosed this on Wednesday while briefing State House correspondents after the Federal Executive Council meeting presided over by President Tinubu in Abuja.
According to Alausa, the Economic and Financial Crimes Commission (EFCC) will channel eligible liquid funds recovered by the agency to NELFUND. The President also approved the transfer of unclaimed dividends from the Capital Market Trust Fund and the Dormant Account Trust Fund to the education loan scheme.
The minister explained that the measure is designed to provide NELFUND with additional resources to meet its growing financial obligations and expand access to higher education.
He, however, clarified that the directive does not cover properties recovered or seized by the EFCC. Only liquid funds that have been legally cleared and are not subject to disputes will be considered for transfer.
The development comes amid the growing volume of unclaimed dividends in Nigeria. The Securities and Exchange Commission reported in June 2025 that unclaimed dividends in the capital market had risen to N242 billion, up from N190 billion in 2023.
Alausa said the Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi, had been directed to work with the Ministry of Education to resolve any legal or administrative issues that may arise from the new funding arrangement.
The initiative is part of the Tinubu administration’s efforts to expand access to tertiary education through the student loan programme established under the 2024 Student Loans (Access to Higher Education) Act.
NELFUND has continued to expand the scheme, with the fund reporting that it had disbursed more than N322 billion in institutional fees and upkeep allowances to over 1.6 million students nationwide as of August 8.
The latest funding directive is expected to provide additional financial support for the scheme as more Nigerian students seek assistance to meet the cost of higher education.
Comments 1