From the green chambers, the House of Representatives has called for a thorough investigation into alleged unethical practices in the disbursement of student loans under the Nigerian Education Loan Fund, NELFUND, amid growing concerns over transparency, mismanagement, and violations of the Student Loans (Access to Higher Education) Act, 2024.
The motion, raised by Aliyu Mustapha on the floor of the House at plenary in Abuja, drew attention to alarming reports from the National Orientation Agency, NOA, and the Federal Ministry of Education. These reports suggest collusion between some tertiary institutions and financial institutions to delay or divert student loans intended to provide equitable and interest-free access to higher education students.
Mustapha, while moving the motion, said the Student Loans Act, 2024, was enacted to ensure timely and transparent access to interest-free loans for all Nigerian students pursuing higher education.
In response, the House urged NELFUND to advance its IT solutions to improve verification processes and streamline operations.
It also directed NELFUND to report violations of the Act and its guidelines to relevant authorities and to impose sanctions where necessary.
Additionally, the House mandated all tertiary institutions to refund students who had paid their tuition fees before receiving their loan disbursements.
The House further charged four committees — Student Loans; Scholarships and Higher Education Financing; Banking and Other Ancillary Institutions; Anti-Corruption; and University Education — to conduct a comprehensive investigation into the allegations and report their findings within four weeks.