The Managing Director of the Nigerian Education Loan Fund, Dr. Akintunde Sawyerr, says students of higher institutions based in Nigeria’s South are not applying for loans because they doubt the viability.
Sawyerr said this when he briefed State House correspondents after the launch of the disbursement of loans to applicants by President Bola Tinubu at the Presidential Villa, Abuja, on Wednesday.
He noted that more students from the North applied for the loans owing to better coordination by tertiary institutions in the region.
“In the southern part of the country, there’s growing awareness and interest. There’s been a lot of scepticism, and I think the most sceptical parts of the country are in the South; they question everything: Is it true? Is it real? Is it a scam?
“And I think what you witnessed today with us actually starting this disbursement programme is to say that ‘this is not NO FUND. This is NELFUND.’
“The zones with the highest, I can say to you that institutions in the North of the country have been very proactive at supporting and helping their students and providing their data to us,” Sawyerr said.
He assured Nigerians that the early scepticism would dissipate as more loans were disbursed.
“So, that’s where the leaning is currently. But that (high adoption in the North) is to be expected because they seem very well organised in terms of networking in the northern part of the country.
“So, I think we’ll see the scepticism that you can find mainly in the southern part begin to disappear when we start paying out,” he added.
Nonetheless, Sawyerr said NELFUND was playing its part to raise awareness in the South so students in the region would embrace the scheme when disbursements begin.
He also revealed that more university students had applied for loans than students of polytechnics and colleges of education.
He stated: “We’re trying to ensure that people know this is not a trick, it’s not a game. Mr. President has backed this with cash and we’re going to disburse that cash.
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“In terms of the three levels of institutions, the universities are the ones with the highest demand for the loans, then I think it’s followed by the polytechnics and then the teacher training colleges and I think it’s probably going to remain that way, the bias is going to remain that way.”
Students of private institutions were excluded from the scheme because they charge more expensive school fees, said Sawyerr, adding that if the government funded private university students, it would be unable to meet the expectations of the initiative.
He also affirmed that the loan scheme would have a positive impact on many lives in the country, saying: “The effect of providing this opportunity for the most needy Nigerians, most capable Nigerians in many ways, and the people who probably will look after us, or whose decisions will impact on us in our old age cannot be underestimated.
“These are the most important people in the country that we’re trying to affect. So, I want to give all the praise and all the recognition to the President, His Excellency Bola Tinubu, for having the vision and the courage to do what he has just done. I’m sure you’ve all heard that fortune favours the brave and this courageous move will bring fortune not just to him but to the entire nation.”
Also briefing journalists was the National President of the National Association of Nigerian Students, Lucky Imonife, who affirmed that the loans were accessible to all students irrespective of background.
“Nigerian students are happy that the dream has come true. It was once a dream, it has become an act and today is the presidential launch and disbursement.
“We are very proud of this. We, as Nigerian students, will call it a new dawn in the education sector.
“Whatever background you belong to, you can assess the loan. Once you apply, you will get it, irrespective of your status, your age and your class,” said Imonife.
In April 2024, President Tinubu signed into law the Student Loans (Access to Higher Education) (Repeal and Re-enactment) Bill, 2024.
In an explainer issued earlier, the Presidency said the new law replaces the repealed Student Loan Act, 2023, which, it said, had some challenges bordering on governance and management, purpose of the loans, eligibility criteria for applicants, method of application, repayment provisions and loan recovery.
The Act seeks to guarantee sustainable higher education and functional skill development for all Nigerian students and youths.