President Bola Ahmed Tinubu has approved the transfer of liquid funds recovered by the Economic and Financial Crimes Commission (EFCC) to the Nigerian Education Loan Fund (NELFUND) to boost the financing of the Federal Government’s student loan programme.
The Minister of Education, Tunji Alausa, announced the decision on Wednesday while briefing State House correspondents after the Federal Executive Council (FEC) meeting.
Alausa said the council also approved the transfer of unclaimed dividends in the Capital Market Trust Fund and the Dormant Account Trust Fund to NELFUND.
He explained that the measures were intended to strengthen the financial capacity of the student loan scheme as demand for funding continues to increase.
“The President, in his benevolence, has now directed that all funds recovered by the Economic and Financial Crimes Commission be diverted to NELFUND to continue to support its funding,” the minister said.
Alausa, however, clarified that the presidential directive was limited to cash recoveries and did not cover properties seized by the EFCC or assets recovered through forfeiture proceedings.
“Note, and the President was very clear, not seized properties, or recovered looted funds, but liquid funds, from the EFCC will now be transferred to NELFUND,” he said.
According to the minister, the decision to redirect unclaimed dividends from the two trust funds to NELFUND was also aimed at ensuring that the agency has sufficient resources to meet its expanding obligations.
He said the additional funding would enable NELFUND to sustain and expand its support for students seeking access to higher education.
NELFUND was established in 2024 after President Tinubu signed the Student Loans (Access to Higher Education) Act into law. The initiative provides interest-free loans to eligible students in tertiary institutions.
The scheme has since expanded significantly, with NELFUND reporting that it had, as of August 8, disbursed more than N322 billion towards institutional fees and upkeep allowances for over 1.6 million students across the country.
The latest funding measures are expected to provide the student loan programme with additional financial resources as the Federal Government seeks to widen access to higher education.
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