The Federal Government has announced its intention to implement its student loan program between September and October 2023.

David Adejo, the Permanent Secretary of the Federal Ministry of Education, shared this information during a press briefing in Abuja. The initiative follows President Bola Tinubu’s recent signing of the Student Loan Bill into law, fulfilling a campaign promise he made.

The Student Loan Bill, sponsored by Speaker Femi Gbajabiamila of the 9th House of Representatives, aims to provide interest-free loans to financially disadvantaged Nigerian students.

Adejo emphasized that the law would facilitate broader access to higher education by offering interest-free loans through the Nigerian Education Loan Fund. The loan scheme will cater to students enrolled in both private and public educational institutions.

Adejo revealed that President Tinubu has already approved the formation of a committee comprising various ministries and agencies to oversee the successful implementation of the loan program.

He explained that the loan scheme would be managed by a specialized bank created specifically for this purpose. To ensure efficient operations, a tracking system will be established to monitor and manage the loan process effectively.

According to him, the bill is to make sure that every Nigerian has access to higher education through what he called the Higher Education Nigerian Bank.

“Learning from past mistakes, the bank is not going to be the type that will sit down and be collecting application loans.

”It will also perform normal banking functions and make sure loans are given because we had cases of loan recovery in the past.

“The Act as it is tells us the process, but as I speak with you today, the president has approved the committee made up of the ministries and agencies and their meeting will be coming up on June 20.

“The president has also directed that by September to October this 2023/2024 academic session, he wants to see recipients of these loans. So it is a very serious march for us so between now and then we have to phantom the process for people to get the loan,” he said.

Adejo clarified that the loan repayment process would begin once the borrower secures employment after completing their education.

Expressing appreciation for President Tinubu’s dedication to this initiative, he emphasized that job creation is a priority for the current administration.

While acknowledging that job creation cannot cater to every individual, the student loan scheme is expected to play a crucial role in equipping graduates for employment and empowering them to contribute to the nation’s development.