NELFUND: Student loan repayment capped at 10% of graduate’s gross income

By Joseph Erunke, ABUJA
Repayment of loans obtained from the Nigerian Education Loan Fund, NELFUND, has been capped at 10 per cent of a beneficiary’s gross monthly income, with the arrangement designed to ensure that graduates do not face excessive financial pressure while repaying their education loans.
The provision is contained in the Students Loans (Access to Higher Education) Act, 2024, which established NELFUND as the Federal Government’s vehicle for providing loans to Nigerians for higher education, vocational training and skills acquisition.
Under the Act, beneficiaries are required to commence repayment after completing their course of study and securing employment.
Howev...