The Nigerian government has planned to spend N49.74 trillion in its 2025 budget. Out of this, about N175.13 million will go to the Nigerian Education Loan Fund (NELFUND). This fund was created to give loans to Nigerian students who qualify for higher education, as stated in the Student Loan Act of 2024. This allocation is derived from the Federal Government’s final budget proposal, which outlines the distribution of funds across various sectors.
Within the proposed budget, N124.08 million is set aside for the salaries and wages of NELFUND staff, including payments for different government departments. Also, N32.72 million is planned for regular allowances, which are extra payments on top of basic salaries.
Another N12.13 million is reserved for the Contributory Pension – Employers’ Contribution, to help secure employees’ finances after they retire. The budget also has N6.20 million for the National Health Insurance Scheme (NHIS), which is designed to provide universal health coverage to beneficiaries.
NELFUND was signed into law on April 3, 2024, under the administration of President Bola Tinubu, marking a significant step toward ensuring sustainable higher education and vocational training for Nigerian students.
The organization is run by a board of directors that includes representatives from Key ministries, regulatory bodies, and agencies, such as the Federal Ministries of Finance and Education. The team is led by its Managing Director, Akintunde Sawyerr, who is in charge of managing its operations.
On January 1, 2025, Akintunde Sawyerr shared NELFUND’s goals and plans for the year, emphasizing the implementation of technological improvements to enhance the efficiency of loan processing. He mentioned that the fund has already received 340,000 student loan applications and hopes to reach 1.8 million applicants in the next 12 to 18 months.
