FG to initiate trial phase of student loan plan in public tertiary institutions

The Federal Government has unveiled plans to commence a trial phase of the student loan program, focusing on applications from public tertiary institutions across the country.

This development comes shortly after President Bola Tinubu signed the modified Student Loan Bill into law.

Nasir Ayitogo, spokesperson for the Nigerian Education Loan Fund, disclosed this update on Wednesday, outlining the government’s strategy to initiate the trial project targeting students enrolled in federal and state universities, polytechnics, and institutes of education.

Ayitogo emphasized that President Tinubu will nominate key personnel, including a chairperson, a Managing Director, and two Executive Directors, to form the executive management team overseeing the implementation of the student loan initiative.

Under the provisions of the Student Loans (Access to Higher Education) Act (Repeal and Re-Enactment) Bill, 2024, the government aims to appoint eligible individuals to these crucial positions before fully operationalizing the program.

Highlighting the significance of the recent legislative changes, Ayitogo stated, “With the President’s assent to the new bill, it means there will be a new management structure in place.

The appointed managing director, along with two executive directors, will steer the implementation process under the guidance of a Chairperson appointed by the President.”

The spokesperson further clarified that the student loan plan would cover students enrolled in both public and private institutions, but the initial trial phase would be limited to public institutions.

“The target for this phase of the loan is students of federal and state universities, federal and state polytechnics, and federal and state colleges of education. Anyone who desires the loan will apply,” Ayitogo explained.

He encouraged eligible students to seize the opportunity by submitting their loan applications, assuring them that funds would be disbursed to qualified applicants who meet the stipulated requirements.

As the Federal Government takes strides towards implementing this critical educational financing initiative, stakeholders anticipate its potential to enhance access to higher education and alleviate financial constraints faced by students across the country.