Favour Ishember, Abuja
President Bola Ahmed Tinubu has unveiled a fresh lifeline for Nigerian students, ordering that money recovered by the Economic and Financial Crimes Commission, EFCC, along with idle dividends and untouched bank balances, be pumped into the Nigerian Education Loan Fund, NELFUND.
The move is designed to give the loan scheme lasting financial muscle and to widen access to university, polytechnic and college education across the country.
Speaking on Monday morning, August 24, 2026, the Minister of Education, Dr. Maruf Tunji Alausa, said the directive marks a turning point for the sustainability of NELFUND as demand for student loans keeps rising.
“At the last Federal Executive Council meeting, Mr. President made it clear we must make NELFUND financially strong for the long haul. He instructed that all EFCC recoveries that are fully cleared and not tied up in court cases should be redirected to NELFUND to meet its growing commitments,” Dr. Alausa stated.
He added that the President also asked that proceeds from unclaimed dividends in the capital market and funds sitting in dormant account trust funds be evaluated for transfer to NELFUND, provided existing laws allow it.
Only assets that have been legally cleared and are free of disputes will qualify, the Minister emphasized.
To work out how it will run, President Tinubu tasked the Attorney-General of the Federation, alongside the Ministers of Finance and Education, to design the implementation framework.
“The AGF will examine the laws establishing both the unclaimed dividend trust fund and the dormant account trust fund to ensure we follow due process in moving those resources. If amendments are required to make it fully lawful, that will be considered,” Dr. Alausa explained.
The Minister described the decision as a major win for Nigerian youths.
“This is a great moment for Nigerian students. We have a President in Bola Ahmed Tinubu who deeply believes in education and is working round the clock to ensure every Nigerian young person gets a real chance to succeed — for themselves, their communities, Nigeria, and the world,” he said.
Dr. Alausa also thanked the President for both political backing and financial support, noting that Tinubu’s mandate to him and the Minister of State is clear: “every Nigerian child and student deserves world-class education.”
He said the administration’s investments are already showing results — better learning quality, improved student services, and improved welfare for academic and non-academic staff in tertiary institutions. The government is also rolling similar support down to basic and senior secondary schools.
“We’ve never had it this good in education,” the Minister said. “This new funding stream, in addition to the existing 15 percent from the development levy, now puts NELFUND in a position to stay financially solid not just for years to come, but sustainably, well into the future.”
Key numbers and background:Beneficiaries: Over 1.2 million tertiary students are currently on NELFUND support.
-Disbursements: As of August 8, NELFUND has paid out more than ₦322 billion in tuition and upkeep allowances nationwide.
-Origin: NELFUND was created in 2024 when President Tinubu signed the Student Loans Access to Higher Education Act into law. It provides interest-free loans to qualified students in tertiary institutions.
Beyond immediate relief, Dr. Alausa said the policy turns assets recovered from past wrongdoing into opportunities that will shape Nigeria’s future, building the skilled workforce needed to drive national growth.
The Federal Ministry of Education pledged to work closely with NELFUND and other relevant agencies to roll out the new arrangement lawfully, with a focus on the students it is meant to serve.
“We remain committed to expanding access to quality education and making sure money is never the reason a qualified Nigerian student cannot go to school,” Dr. Alausa affirmed.
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