South-South, South-East Record Low Student Loan Uptake – NELFUND Boss Reveals Reasons
Cultural Factors and Poverty Rates Impact Loan Applications
The Managing Director/CEO of the Nigerian Education Loan Fund (NELFUND), Mr. Akintunde Sawyerr, has identified cultural attitudes toward debt and lower poverty rates as primary reasons for reduced student loan applications in Nigeria’s South-South and South-East regions.
Speaking at a strategic workshop with heads of tertiary institutions in Abuja on May 5, Sawyerr explained: “Some cultures in these geopolitical zones frown on debt and loan-taking, and the poverty rate is relatively low. In oil-producing states, governments often provide scholarships and bursaries, which naturally affects loan uptake.”
NELFUND’s Response and Workshop Objectives
Sawyerr outlined NELFUND’s plans to intensify sensitization efforts in these regions to improve loan uptake. The workshop aimed to:
- Establish standardized engagement frameworks with institutions
- Formalize agreements through MoUs
- Address challenges in the loan application process
- Share best practices among institutions
“Education is crucial for individual and national growth,” Sawyerr emphasized. “We want to ensure everyone has access to education, whether through self-funding or loans, regardless of background or location.”
Legislative Support and System Modernization
Rep. Ifeoluwa Ehindero, Chairman of the House Committee on Students Loans, highlighted the importance of modernizing the loan management system:
“Our aim is to create a more transparent, efficient, and responsive process for loan applications, approvals, and disbursement. This is essential for the success of the initiative.”
Institutional Challenges and Solutions
Prof. Sagir Adamu Abbas, Vice-Chancellor of Bayero University Kano and Chairman of the Committee of Vice-Chancellors, identified key challenges:
- Students providing incorrect registration details
- Communication gaps between institutions and NELFUND
- Need for strict adherence to application templates
“This scheme is very important to us,” Prof. Abbas stated. “With NELFUND, money should no longer be a barrier to accessing education.”
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