Why Freshers’ Fee Payments Are Delayed — NELFUND

The Managing Director of the Nigerian Education Loan Fund (NELFUND), Akintunde Sawyerr, has clarified why the Fund cannot pay institutional fees for newly admitted students until they complete their registration.

Speaking with the News Agency of Nigeria in Abuja, Sawyerr said paying fees for students who have not fully enrolled or matriculated could lead to significant financial losses.

“If we pay for students who have not entered, what happens if they change their minds and decide not to attend the school anymore?” he asked. He noted that releasing funds before registration would amount to “disbursing against intention,” exposing the government to financial risks.

According to him, many admitted students may switch schools, study abroad, drop out, or change programmes scenarios that could cost the government billions of naira if payments are made prematurely.

Sawyerr also highlighted challenges within the admission process itself, especially the requirement for a matriculation number before students can access their loans. To address this, he said NELFUND is working with tertiary institutions to allow the temporary use of Joint Admissions and Matriculation Board (JAMB) registration numbers for students who have completed school registration but are yet to matriculate.

“There are many genuine applicants who need their matriculation numbers to process their fees, but they can’t matriculate until they have paid,” he said. “We are exploring the possibility of using JAMB registration numbers as a temporary substitute.”

Reflecting on NELFUND’s development, Sawyerr noted that the initial law establishing the Fund, signed on June 12, 2023, had several limitations including the requirement for guarantors and a household income cap of ₦500,000, which excluded many families.

He described the guarantor requirement as burdensome for students who might have to “plead with or pay someone” to qualify. The income cap, he added, was also unrealistic for most households.

The first law also failed to provide for students’ living expenses, offering support only for tuition, he said.

Sawyerr explained that President Bola Tinubu initiated a repeal of the flawed legislation, paving the way for the new Education Loan Act passed and launched in May 2024.

“Since we began operations in May 2024, our platform has not crashed even once, despite unexpectedly high demand,” he said. “We have continued to receive applications, process them, and pay students and institutions from the funds allocated.”

He thanked President Tinubu for his support, noting that NELFUND has become a lifeline for thousands of students who might otherwise have been unable to continue their education.