President Bola Ahmed Tinubu has revealed that the federal government is set to initiate the distribution of student loans to Nigerians starting in January 2024.
He stated this during the opening session of the ongoing Nigerian Economic Summit in Abuja on Monday.
During the summit, he emphasized that this initiative aligns with his dedication to alleviating the challenges faced by Nigerians.
“You have my commitment that my government will act on all its promises and the summit report when it is received. Be ready to challenge me after you have crafted those recommendations,” he said.
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Recent increases in tuition fees by certain higher education institutions have caused concern among students and parents. These concerns are exacerbated by the delay in launching a loan scheme scheduled to have begun earlier.
The student loan program, which was initiated by President Tinubu’s administration, aims to provide interest-free education loans for Nigerians pursuing tertiary education. Enacted in June under the name “Access to Higher Education Act, 2023,” or the Students Loan Act, this initiative established an Education Loan Fund.
The fund is designed to assist Nigerians in financing their higher education and allows for repayment to commence two years after they complete their National Youth Service Corps (NYSC) participation.
Investigations have revealed that the responsible government ministries and agencies have yet to establish the necessary procedures for the smooth implementation of this scheme, as mandated by the law. Additionally, funding, specific procedures, and guidelines for disbursing these loans to students have not been finalized by the government.