Nigerian President Bola Tinubu has directed that all legally cleared and unencumbered funds recovered by the Economic and Financial Crimes Commission (EFCC) be channelled to the Nigerian Education Loan Fund (NELFUND).
The statement issued on Monday in Abuja by Mr. Ikharo Attah, Special Adviser to the Minister of Education on Media and Communications stated that Nigeria’s Minister of Education, Dr. Tunji Alausa, explained that the directive is aimed at strengthening NELFUND’s financial sustainability and expanding access to tertiary education for Nigerian students.
Alausa said that President Tinubu had also directed that funds from unclaimed dividends and dormant accounts be considered for transfer to NELFUND, subject to relevant laws governing the funds.
According to the statement, only funds that has been legally cleared and are free from litigation or other encumbrances will be considered for transfer.
“As you heard me at the last press briefing following the last Federal Executive Council meeting, Mr President mentioned that we need to make NELFUND financially buoyant and sustainable into the future.
“During that council meeting, Mr. President directed that all seized funds, unencumbered funds free of litigation, by the Economic and Financial Crimes Commission should be diverted to NELFUND to support the growing obligations of the Fund,” Alausa said.
The minister said that the Attorney-General of the Federation, in collaboration with the Ministers of Finance and Education and other relevant institutions, would work out the modalities for implementing the directive.
He said that the Attorney-General would also review the laws establishing the Unclaimed Dividend Trust Fund and Dormant Account Trust Fund to ensure that any transfer of funds to NELFUND complied with the law.
“During that meeting as well, Mr. President directed the Minister of Finance, myself and the Attorney-General of the Federation to work on the modalities to operationalising this.
“More importantly, the Attorney-General will review the Act setting up the unclaimed dividend trust fund as well as the dormant account trust fund to see how we can be legally compliant in moving those funds,” he said.
Alausa described the directive as a major opportunity for Nigerian students, saying that the administration remained committed to expanding access to quality education.
“This is a time that is great for Nigerian students. You have a president that believes fervently and benevolently in education and continues to push day and night to ensure that every single Nigerian youth gets the best opportunity to be useful to themselves, useful to their community, the country and the global world at large,” he said.
The minister said that the new funding arrangement would complement NELFUND’s existing sources of financing, including the 15 per cent allocation from the Tertiary Education Trust Fund development levy.
He said the arrangement would position the Fund to meet its growing financial obligations sustainably.
Alausa also disclosed that more than 1.2 million students in tertiary institutions were currently benefiting from NELFUND.
He added that, as of August 8, NELFUND had disbursed over N322 billion in institutional fees and upkeep allowances to the beneficiaries across the country.
The minister said the Federal Government’s investment in education was also being extended to basic and senior secondary education as part of efforts to strengthen the entire education system.
GIK/APA