Students Loan Scheme To Commence In September

The Federal Ministry of Education says implementation of the Students Loans scheme is scheduled to commence during the 2023/2024 academic session.

The Permanent Secretary of the ministry, David Adejo who stated this during a meeting with the House of Representatives Committee on Students Loans also dispelled rumours that the signing of the Students Loan Act had prompted several Federal universities to increase their charges.

He emphasized that President Bola Tinubu has directed the completion of necessary work on the modalities for the students’ loan implementation, with a target start date in September 2023.

The Director of Legal Services of the Central Bank of Nigeria who represented the Acting Governor of the Central Bank, Kofo Salami Alada said the student loan was being designed to be technology driven.

According to him it is being designed in such a way that will eliminate physical contact and movement of papers, while the students will be expected to apply for the loan from the comfort of their homes.

The chairman of the committee, Teseer Ugbor said the students’ loan was part of the palliatives by the federal government to alleviate the suffering of Nigerians and ensure access to higher education by interested Nigerians.

Me Ugbo however, expressed concern about the disbursement process, the recovery of the funds from beneficiaries as well as the possibility of some students not being able to access the loan.

He futher stated that the House is working to propose an increase of 3% as against an initial 1% for students loan from revenue generated annually as recently announced by President Bola Ahmed Tinubu.

Mr. Ugbor expressed displeasure with the slow implementation of the Students Loan Programme which would have also cushioned the effects of fuel subsidy removal and asked the implementers to ensure there was fairness in distribution.

President Bola Ahmed Tinubu had in June signed the Student loan bill into law to provide financial assistance to students enrolled in tertiary institutions across the country.

Oduyemi Odumade, Edited By Grace Namiji