The Nigerian Education Loan Fund has decided against publishing the names of students receiving loans from its scheme, citing data protection concerns and the risk of embarrassment to borrowers. Akintunde Sawyerr, the Director-General of NELFUND, said the fund would only reveal which institutions received payments and how many students benefited, while keeping individual identities confidential. Since launching its student loan portal on May 24, 2024, NELFUND has distributed N375.28bn as of November 9, 2026, split between N194.77bn in institutional fees and N180.50bn in upkeep allowances across 1,675,474 loans at 320 beneficiary institutions.
Sawyerr defended the confidentiality stance by arguing that students should not be exposed publicly because of their financial circumstances. He noted that some borrowers feel embarrassed about taking loans, while others fear being targeted because of their financial status. The decision comes as education and finance experts have called for greater openness in how the scheme operates, particularly regarding its long-term viability and mechanisms for loan repayment before the first repayment window opens in 2028.
On the question of charging interest on loans, Sawyerr said NELFUND currently has no plans to do so, stating that Nigerian students deserve interest-free borrowing. He dismissed suggestions to convert loans into grants, arguing that tertiary education students are adults who understand the financial implications of borrowing and should repay once employed. Sawyerr also noted that some beneficiaries have already started repaying their loans, and several Nigerians have expressed interest in sponsoring other students through the fund.
Regarding concerns about the scheme's sustainability, Sawyerr said loan recovery is only one of several funding sources available to NELFUND. The fund also generates revenue through investments, donations and statutory allocations. He pointed out that NELFUND receives 15 percent of the four percent development levy distributed to eligible bodies. Sawyerr argued that educating more young Nigerians would expand the country's tax base, ultimately providing more resources for education funding.
NELFUND recently introduced a tokenisation system to prevent double payments of tuition fees and give students more control over the payment process. Under this system, students receive electronic tokens on their phones and authorise payments directly to their institutions. The tokens can only be used to pay tuition at the one school to which the student was admitted, preventing money being diverted elsewhere. Sawyerr also said NELFUND has added a price dispute feature to its portal, allowing students to challenge fees before applying for loans, though the fund acknowledged it lacks the legal power to penalise institutions for excessive fee increases.
For borrowers and savers, this means students accessing NELFUND loans will have their identities kept private while benefiting from interest-free borrowing, though their institutions' identities and payment volumes will remain public. The fund's reliance on multiple revenue sources beyond loan repayment suggests the scheme aims for long-term stability beyond recovery rates alone.