Enugu Uproar: Student Loans Not Compulsory, NELFUND Warns Institutions

By Molayo Anjorin

The Nigerian Education Loan Fund (NELFUND) has warned tertiary institutions against forcing students to take up interest-free loan programme, saying that borrowing must be a personal choice based on one’s financial situation.

NELFUND Director of Strategic Communications, Oseyemi Oluwatuyi gave the clarification on Wednesday, following uproar over a directive from Enugu State College of Education (Technical), Enugu, where fresh and returning students were directed to apply for the loan.

NELFUND said the scheme was meant to help students having financial challenges to fund their education, and not to further unduly burden those who could easily fund their own education.

The Fund emphasized that students who are not in need of financial assistance are under no obligation to apply.

The controversy started on October 6, when a memo, allegedly sent out by the Enugu-based institution, asking students on National Certificate in Education and degree courses to apply for the federal government-backed facility was circulated.

There were worries that the scheme would be made mandatory, even as their parents could easily provide funds to pay their tuition fees.

NELFUND insisted that forcing students to borrow regardless of their financial situation will be counterproductive to the purpose of the program including increasing access to higher education and ensuring that financial need do not deter students from pursuing their studies.