The House of Representatives Committee on Student Loans, Scholarships and Higher Education Financing in Nigeria has expressed concerns over the non-compliance of some beneficiary institutions in the management and administration of the Student Loan Scheme. According to the committee chairman, Hon. Ifeoluwa Ehindero, recent monitoring activities revealed that several institutions were not fully compliant with the requirements governing the administration of the scheme.
The committee's concerns include cases where institutions withheld funds released by the Nigerian Education Loan Fund (NELFUND) for verified beneficiaries, delayed refunds to students who had already paid their tuition fees before NELFUND disbursement, and made only partial refunds to eligible beneficiaries. Ehindero emphasized that such practices undermine transparency and accountability, erode students' confidence in the system, and may threaten equitable access to funding for higher education.
The committee's warning comes as some institutions have been found to be withholding funds from verified beneficiaries, causing financial hardship for students. Ehindero noted that prolonged delays in processing payment notifications and refunds may disrupt academic progress and compound the financial hardship faced by affected students. The committee has urged the heads of all beneficiary institutions to ensure that their bursars, ICT directors, and NELFUND desk officers strictly observe financial discipline in managing NELFUND funds.
In a bid to address these challenges, the committee has directed all beneficiary institutions to ensure that NELFUND funds received on behalf of students are promptly and fully applied for the intended purpose. The committee also warned that institutions found to have deliberately failed to comply with the guidelines would face appropriate sanctions under Section 5.6 of the NELFUND Guidelines.
To strengthen enforcement mechanisms, promote data transparency, and reinforce the scheme's accountability framework, the committee plans to introduce targeted oversight measures. This move aims to address the identified challenges and ensure that the Federal Government's efforts to expand access to affordable higher education are not frustrated. The committee reaffirmed its commitment to ensuring that no student is denied the benefit of funds legitimately provided for their education.
The Student Loan Scheme was established to provide financial assistance to students in Nigerian higher institutions. The scheme is managed by NELFUND, which disburses funds to eligible students. However, the committee's findings suggest that some institutions are not adhering to the guidelines, which may undermine the scheme's objectives. The committee's oversight activities are aimed at ensuring that the scheme is implemented in a transparent and accountable manner.
The House of Representatives Committee on Student Loans, Scholarships and Higher Education Financing will continue to exercise its oversight responsibilities to ensure compliance with the guidelines. Key points include:
Key points
- Institutions must promptly and fully apply NELFUND funds for the intended purpose.
- Non-compliant institutions will face sanctions under Section 5.6 of the NELFUND Guidelines.
- The committee will introduce targeted oversight measures to address identified challenges.
