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Tinubu makes student loan legislation official.

 The Student Loans (Access to Higher Education) Act (Repeal and Re-Enactment) Bill, 2024 was signed into law by President Bola Tinubu on Wednesday.


This comes after the Committee on Tertiary Institutions and TETFund report was individually reviewed by the Senate and the House of Representatives.

During the brief ceremony, President Tinubu stated that the primary goal of the new law was to guarantee that Nigerian children would not be denied the opportunity to receive an education, which he defined as the means of effectively combating poverty.

"I just signed a bill proclaiming the student loan effectively," he declared. First and first, I would like to express my gratitude to the National Assembly members for their prompt attention to this law, keeping in mind the children of Nigeria and the fact that education is a powerful weapon in the fight against poverty.

"We are committed to making sure that education has the appropriate focus required for the nation, including initiatives for skill development. This is to guarantee that everyone has access to high-quality education and opportunities to develop their future, regardless of how impoverished their background may be.

"We all received assistance and education, which is why we are here. Many of our children have lost out on opportunities by dropping out of college in the past.

That is no longer the case; as long as you are a citizen of Nigeria, you can apply the standard and the control regardless of who you are.

What is Nigeria's student loan bill?
The bill, sponsored by Senator Bamidele Opeyemi of Ekiti State's Ekiti Central Senatorial District, aims to address issues with the Nigerian Education Loan Fund's management structure, applicant eligibility requirements, loan purposes, funding sources, and disbursement and repayment procedures in order to improve the scheme's execution.

How does the Nigerian student loan system operate?

The Nigerian Education Loan Fund (NELFUND) would be created under this bill as a legal body with the capacity to sue and be sued in its name.

It would have the authority to purchase, hold, and dispose of both movable and immovable property in order to carry out its mandate under its own name.

Essentially, the Bill gives the Fund the ability to lend money to qualified Nigerians to cover their living expenses as well as tuition, fees, and charges for attending recognized postsecondary educational institutions and vocational training facilities in Nigeria. 

What conditions apply to student loans in Nigeria?
Additionally, the Bill does away with the current law's income-based qualifying requirement, which required candidates or their families to earn less than N500,000 annually.

The Bill further expands eligibility, including students from government-approved vocational schools and higher institutions created by the federal government or state to apply, subject to the Fund determining the precise requirements.

Additionally, the new Bill allows applicants to request loans to cover other institutional expenditures and maintenance allowances, in contrast to the 2023 Act, which restricted loan applications to tuition prices alone.

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