Federal Government Unveils Student Loan Fund Scheme with New Application Process – Dr. Sawyerr.
The Federal Government is gearing up to launch the Nigerian Education Loans Fund through a dedicated application designed for students in tertiary institutions. Dr. Akintunde Sawyerr, the Executive Secretary of the Student Loan Board, disclosed this development to State House correspondents in Abuja on Monday.
This new student loan app is an integral part of the Education Loans Fund scheme, set to be introduced by the federal government. Dr. Sawyerr highlighted that the application will streamline the process by eliminating human intervention, allowing eligible participants to submit their information conveniently through the application portal.
The Student Loan Act, a cornerstone of this initiative, aims to provide Nigerian students in tertiary institutions with access to interest-free loans. It also establishes an Education Loan Fund, offering financial support to individuals seeking higher education.
Dr. Sawyerr explained, “In applying for this loan, there is zero human intervention. In other words, there is an app through which applicants will log into a portal to input certain pieces of information to ascertain their eligibility.”
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Importantly, the student loan program is not limited to students attending traditional educational institutions; it extends its support to those pursuing studies in technical, teaching, and vocational schools.
Successful applicants will have their school fees sent directly to their institutions. While the loan is available to all Nigerians, it is specifically designed to assist those identified as most in need.
During the briefing, Dr. Adedeji, Chairman of FIRS, highlighted the role of Education Tax as a significant contributor to financing the student loans program. He emphasized that channeling the education tax fund into the scheme is a demonstration of the government’s accountability to taxpayers in the country.
Key Highlights:
- President Bola Ahmed Tinubu announced earlier this year that the federal government is set to kick off the distribution of student loans to Nigerians from January 2024. This announcement was made during a session of the Nigerian Economic Summit in Abuja.
- The initiative aligns with President Tinubu’s commitment to addressing the challenges faced by Nigerians.
- Recent concerns over tuition fee increases by certain higher education institutions, coupled with the delayed launch of the loan scheme, have raised anxieties among students and parents.
- The student loan program, initiated under President Tinubu’s administration, aims to provide interest-free education loans to Nigerians pursuing tertiary education.
- Enacted in June as the “Access to Higher Education Act, 2023,” or the Students Loan Act, this initiative establishes an Education Loan Fund
