NELFUND
The Registrar of the University of Ibadan (UI), Mr Ganiyu Saliu, has described the Nigerian Education Loan Fund (NELFUND) as a major educational reform in the past two decades.
Saliu said this in an interview with the News Agency of Nigeria (NAN) in Ibadan, on Friday, while assessing the impact of the Federal Government’s student loan scheme.
He, however, said that the potential of the loan, was yet to be fully harnessed.
The registrar identified ignorance as one of the factors inhibiting the acceptance of the loan in the institutions in the South-West.
“Many students, particularly from the South-West, were initially reluctant to embrace the scheme due to poor understanding of the processes and repayment conditions,
“However, the university in collaboration with NELFUND officials organised several orientation programmes to sensitise students, leading to increased participation,
“Today, more than half of our current students are applying for the loan,” he said.
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Saliu explained that the loan was interest-free and repayment would only commence two years after beneficiaries secure employment.
The registrar said that beneficiaries who remained unemployed after graduation were not expected to begin repayment until two years after they got jobs.
Saliu added that part of the benefits was that eligible students also received a monthly upkeep allowance of ₦20,000 under the scheme.
On complaints over irregular payment of the upkeep allowance, the registrar attributed the challenge to disruptions in university academic calendars.
He expressed optimism that the recent industrial harmony in public universities would restore stable academic calendars and ensure more predictable disbursement of allowances.
“The allowance is meant for the period students are in school and not for the entire year,” he said.
Speaking on students who paid institutional charges before their loans were approved, Saliu said UI had refunded those affected after the first phase of implementation.
He explained that initial delays were caused by payments made through third parties, making verification difficult.
According to him, the university now allows students with approved NELFUND applications to continue registration pending disbursement.
He noted that UI did not charge tuition fees but only statutory levies, which were paid directly once loan disbursements were received.
Reacting to allegations that some tertiary institutions inflated charges because government was paying through NELFUND, Saliu said that such was not the case in UI.
He said that the university operated a transparent system in which NELFUND verified both applicants and the exact amount payable before approving disbursements.
According to him, regular audits by the Office of the Accountant-General of the Federation further ensure accountability.
“There is basically no possibility of any inflation at the University of Ibadan.” he said.
The registrar urged students and parents to view educational loans positively, noting that borrowing to finance education had long been practised both in Nigeria and abroad.
Saliu said that many parents previously relied on commercial banks and cooperative loans, which attracted interest, unlike the NELFUND facility.
He encouraged eligible students, especially those from the South-West, to take advantage of the scheme to ease the financial burden of higher education.
The registrar also called for improved funding of universities, saying ageing infrastructure across campuses required urgent rehabilitation.
According to him, current institutional charges, particularly hostel accommodation fees, are inadequate to meet operational costs and infrastructure renewal.
He stressed the need for sustainable funding to enable universities to maintain quality teaching, learning and facilities.(NAN) (www.nannews.ng)
