President Tinubu has directed EFCC recoveries and unclaimed dividends to fund NELFUND Student Loans.
NewsOnline Nugeria reports that President Bola Tinubu has directed that eligible funds recovered by the Economic and Financial Crimes Commission be transferred to the Nigerian Education Loan Fund to strengthen the Federal Government’s student loan programme.
The directive also covers unclaimed dividends held under designated capital-market and dormant-account trust funds.
Minister of Education, Dr Tunji Alausa, disclosed the development on Wednesday while briefing State House correspondents after the Federal Executive Council meeting.
Alausa explained that only liquid EFCC recoveries that are not tied to pending court cases or other legal disputes would be transferred to NELFUND.
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He said the Federal Executive Council also approved a presidential directive to channel eligible unclaimed dividends held under the Capital Market Trust Fund and Dormant Account Trust Fund to the education loan agency.
According to the minister, the initiative is intended to strengthen NELFUND’s financial capacity as the number of beneficiaries and its funding obligations continue to increase.
“The President, in his benevolence, has now directed that all funds recovered by the Economic and Financial Crimes Commission be diverted to NELFUND to continue to support its funding,” Alausa said.
He added: “This was also approved by FEC: that all unclaimed dividends from the Capital Market Trust Fund and the Dormant Account Trust Fund should also be directed to NELFUND, so that NELFUND will be financially buoyant to meet its growing obligations today.”
Alausa clarified that the directive does not include properties seized by the EFCC or assets still undergoing legal proceedings.
Unclaimed dividends are payments declared by companies but not collected by their shareholders, often because of outdated information, difficulties tracing beneficiaries or other administrative problems.
The Securities and Exchange Commission has maintained that eligible shareholders retain the right to claim unpaid dividends. Companies and registrars are expected to honour valid claims in accordance with the relevant legal framework.
Nigeria’s unclaimed dividends are estimated at approximately N270 billion, although the amount available for transfer to NELFUND may differ after eligible claims and statutory requirements are considered.
The new funding arrangement comes as the student loan programme continues to expand nationwide.
NELFUND has reportedly disbursed N322.69 billion to Nigerian students and tertiary institutions since its application portal was launched in May 2024.
According to its latest disbursement report, the Fund has processed 1,659,853 applications.
Of the total amount released, N192.89 billion was paid to 319 beneficiary institutions as tuition and institutional fees, while N129.80 billion was disbursed directly to students as upkeep allowances.
NELFUND was established under the Federal Government’s student loan framework to provide financial support for eligible Nigerians seeking higher education. The 2024 legislation established the agency as the institution responsible for administering the scheme.
The Fund has continued to modify its operations to address challenges associated with the programme’s implementation.
In July, NELFUND dismissed a viral document claiming that upkeep payments for beneficiaries of the 2025/2026 academic session had been suspended. It described the document as fake and maintained that approved disbursements were continuing.
The agency also announced plans to introduce a digital token-based tuition payment system. The proposed arrangement would allow students to authorise payments to their institutions through a controlled digital process, reducing the risk of duplicate payments and improving transparency.
