Living Cost: Nigerian students want NELFUND to increase upkeep allowance for loanees

The National Association of Nigerian Students (NANS) has appealed to the Nigerian Education Loan Fund (NELFUND) to increase students’ upkeep under the student loan scheme from N20,000 monthly to N40,000.

NANS Senate President, Akinteye Babatunde, made the appeal in a statement shared with PREMIUM TIMES.

He explained that the high cost of living in the country is taking its toll on Nigerian students, noting that the Fund’s current upkeep may not be enough to keep them.

The student body, therefore, appealed for consideration of an increase for the maintenance portion of the student loan scheme.

“In light of the financial difficulties facing students, we also take this opportunity to appeal to the government to increase the student loan upkeep from N20,000 to N40,000. This adjustment is essential to help students cope with the rising cost of living and ensure that they can continue to pursue their education without undue financial strain,” he said.

Nigerians are facing increasing cost of living attributed largely to the removal of fuel subsidies and the floating of naira. Inflation has also increased within the last one year of Presidnt Bola Tinubu’s administration.

Mr Babatunde, therefore, called on the government to exercise caution in rolling out reforms that may negatively impact the lives of poor Nigerians, adding that such reforms be rolled out in phases to mitigate their impacts on Nigerians.

“In addition, we urge the government to prioritise the reduction of excessive government spending. At a time when Nigerians are being asked to make sacrifices, it is only fair that those in power lead by example,” he said.

He described the mood across the nation as one of “anger, frustration, and desperation”.

“We acknowledge that Nigerians, especially students, are severely impacted by the high fuel prices, as our economy is deeply tied to fuel. The ripple effect is felt most intensely by the lower class, and the cries of distress are understandable. However, it is crucial that we approach these issues with caution and strategy,” he said.

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Student Loan

Shortly after assuming office, Mr Tinubu assented to the Access to Higher Education Act which institutionalised the provision of loan to Nigerian students in public tertiary institutions. The loan is introduced as part of the government’s strategy to improve access to higher education.

Earlier this year, the Nigerian government through NELFUND began the implementation of the law, providing student loans to Nigerian students. For successful student applicants, the Fund pays the school fees directly to the institutions and N20,000 monthly upkeep to the students. The upkeep is optional and students can choose whether or not to receive it.