The Nigerian Education Loan Fund has dismissed reports claiming that it has increased the monthly upkeep allowance for student beneficiaries under its loan scheme, insisting that the stipend remains ₦20,000.
In a statement released on Monday, the Fund described the reports of an increase to ₦25,000 as false and misleading, urging students across the country to ignore such claims and rely only on official communication channels.
The statement, signed by the Director of Strategic Communications at NELFUND, Oseyemi Oluwatuyi, clarified the situation amid growing confusion among beneficiaries.
“The approved upkeep allowance remains ₦20,000 monthly, and not ₦25,000 as being reported,” the statement said.
The clarification follows widespread reports, especially on social media, suggesting that the Federal Government had approved an increase in the monthly allowance given to students under the loan scheme.
Many students had welcomed the supposed increase, citing the rising cost of living in Nigeria, including higher food prices, transport fares, and accommodation costs.
However, NELFUND said the information was not accurate and warned that such misinformation could create false expectations among beneficiaries.
“Students are advised to disregard any contrary information and rely only on official NELFUND communication channels for accurate updates,” the Fund stated.
The agency also directed students to reach out through its official email and verified social media platforms for any inquiries or clarification.
The Nigerian Education Loan Fund is one of the Federal Government’s major interventions in the education sector. It was established following the enactment of the Student Loans Act, a law aimed at improving access to higher education for Nigerians.
The scheme is designed to support students in public tertiary institutions who may struggle to pay their tuition fees or meet daily living expenses.
Since its launch, the program has provided financial assistance to students across universities, polytechnics, and colleges of education.
According to NELFUND, more than ₦206 billion has already been disbursed to support over 1.6 million students nationwide.
The loan application portal was officially opened on May 24, 2024, marking the beginning of the program’s rollout.
Under the scheme, eligible students can apply for loans to cover tuition fees and receive a monthly stipend for upkeep.
The ₦20,000 monthly allowance is intended to help students meet basic needs such as feeding, transportation, and study materials.
Unlike traditional loans, repayment is structured to begin only after the beneficiary has completed their education and secured employment.
This arrangement is meant to reduce financial pressure on students while they are still in school.
Education experts say this approach makes the scheme more accessible and fairer, especially for students from low-income families.
The debate over the stipend amount comes at a time when many Nigerians are facing economic challenges.
In recent years, the cost of living has increased significantly due to factors such as inflation, fuel price adjustments, and changes in government economic policies.
For students, these challenges are often more severe, as many depend on limited financial support from their families.
Some student groups have argued that the ₦20,000 monthly allowance may no longer be sufficient to meet basic needs in many parts of the country.
A student leader at a federal university in the South-West, who spoke anonymously, said, “₦20,000 can barely cover feeding for a month, not to talk of transport and other expenses.”
Despite these concerns, NELFUND has not indicated any immediate plans to review the stipend.
While the Federal Government has not officially commented on the reports of a stipend increase, the clarification from NELFUND suggests that no such approval has been granted.
The Fund, however, reaffirmed its commitment to transparency, efficiency, and student-focused service delivery.
“The Fund appreciates the continued cooperation of students and remains committed to delivering transparent, efficient, and student-focused support nationwide,” the statement added.
One of the key goals of the student loan program is sustainability. By requiring beneficiaries to repay the loans after graduation and employment, the government aims to ensure that the fund remains available for future students.
As more students continue to enroll in the program, attention is likely to remain on the adequacy of the financial support provided.
For now, NELFUND’s message is clear: the monthly stipend remains ₦20,000, and any claims of an increase should be treated as false unless officially confirmed.
The development highlights the growing role of digital platforms in spreading information—and sometimes misinformation—about government programs.
For student beneficiaries, the advice from authorities is simple: verify before believing, and rely only on trusted sources.
As Nigeria continues to seek ways to improve access to education, initiatives like the student loan scheme remain critical.