The House of Representatives has commenced a formal investigation into alleged misappropriation of funds, regulatory breaches, and unethical practices surrounding Nigeria’s student loan programme.
Lawmakers expressed concern that these issues, if left unchecked, could threaten the integrity of one of the country’s most vital educational support systems.
At the opening of a public hearing on the matter, Speaker Tajudeen Abbas reaffirmed the House’s commitment to safeguarding the student loan scheme from administrative lapses, poor oversight, or deliberate misconduct. He warned that public confidence in the programme was at stake, adding that the legislature would not ignore serious allegations.
The inquiry, led by the House Committees on Public Accounts and Student Loans, is focused on investigating delayed disbursements, lack of transparency, and possible collusion among stakeholders involved in managing the scheme.
Abbas described the probe as both a constitutional mandate and a moral obligation to protect young Nigerians relying on the loan programme to access higher education. Citing Sections 88 and 89 of the 1999 Constitution (as amended), he emphasized that the National Assembly has the authority to oversee the execution of laws it enacts.
“This is not about witch-hunting,” he stated. “Our goal is to ensure every naira allocated to Nigerian students is spent transparently and responsibly.”
He commended the Nigerian Education Loan Fund (NELFUND), established under the Student Loans (Access to Higher Education) Act of 2024, as a key component of President Bola Tinubu’s Renewed Hope Agenda. According to Abbas, over 600,000 student applications have been processed and more than ₦73 billion disbursed so far.
Despite these milestones, he cautioned that allegations of mismanagement threaten to derail the initiative’s credibility.
“This hearing is an opportunity to verify these claims, identify any systemic gaps, and recommend reforms, including disciplinary actions where necessary,” Abbas added.
Committee Chairman Ifeoluwa Ehindero noted the programme has already brought hope to many Nigerian families and is making tangible impact. As of June 30, 2025, he said ₦73.1 billion had been distributed to 366,247 students across federal and state tertiary institutions — with ₦38.26 billion allocated for tuition and ₦34.85 billion for upkeep.
He praised Speaker Abbas’s leadership, which, he said, enabled the committee to operate transparently and impartially.
“Our focus is not punishment,” Ehindero said. “We want to improve accountability, strengthen the loan disbursement structure, and ensure equitable access.”
NELFUND Managing Director Akintunde Sawyer reported that over 650,000 applicants had been registered, with about 2,000 applications processed daily. He added that all applications undergo verification and that funds are paid directly to institutions upon approval.
The House Committees announced plans to hold further hearings involving regulators, educational institutions, and students affected by the scheme to restore public confidence and enhance the programme’s impact.
