The Nigerian Education Loan Fund has stated that no student in Nigeria’s tertiary institutions is obliged to apply for a student loan, stressing that the scheme is meant to support those facing financial hardship and not to force every student to borrow.
In a clarification issued on Wednesday, the Fund emphasised that accessing the interest-free loan is a personal decision which should be guided by a student’s financial circumstances and genuine need for assistance.
The Fund’s position comes amid the need to ensure that students, tertiary institutions and other stakeholders clearly understand the purpose and conditions of the Federal Government’s student loan initiative.
It explained that the scheme was established to remove financial barriers to higher education and to stop eligible Nigerian students from abandoning their academic ambitions for lack of funds.
It cautioned, however, against any interpretation or practice that could make borrowing compulsory for students, regardless of their financial capacity.
According to the Fund, forcing students who do not need financial help to take loans would defeat the very purpose of the programme.
“The objective is not to encourage every student to borrow, but to ensure that every eligible Nigerian student who genuinely needs financial assistance has the opportunity to access it,” NELFUND said.
It added that the loan scheme is a support mechanism rather than an obligation, noting that students who can independently meet their educational expenses are free to pursue their studies without applying for the facility.
Beyond clarifying the voluntary nature of the scheme, NELFUND reminded prospective beneficiaries that the interest-free facility carries repayment obligations under the provisions of the Student Loans Act.
The Fund therefore urged students to familiarise themselves with the terms and conditions governing the loans and to make informed decisions before submitting applications.
Describing the scheme as a critical intervention to widen access to higher education, NELFUND maintained that its priority remains ensuring that financial difficulties do not prevent qualified Nigerian students from pursuing their educational aspirations.
The Fund also called on tertiary institutions, student leaders and other stakeholders to provide accurate information about the programme and guide students appropriately, particularly those struggling to finance their education.
It reiterated its commitment to ensuring that eligible students who genuinely need financial assistance can access the facility without being misled into believing that taking a loan is a compulsory condition for studying in a Nigerian tertiary institution.
The clarification was contained in a statement signed by NELFUND’s Director of Strategic Communications, Mrs Oseyemi Oluwatuyi.
