President Bola Tinubu has directed that funds recovered by the Economic and Financial Crimes Commission (EFCC), alongside certain unclaimed dividends, be channelled into the Nigerian Education Loan Fund (NELFUND) to strengthen the government’s student loan scheme.
The Minister of Education, Dr Tunji Alausa, disclosed this on Wednesday, August 19, while briefing State House correspondents after the Federal Executive Council meeting.
Alausa said the Federal Executive Council approved the directive as the government seeks to ensure that NELFUND has sufficient resources to meet its growing financial obligations to Nigerian students.
Under the arrangement, unclaimed dividends held by the Capital Market Trust Fund and the Dormant Account Trust Fund will also be directed to NELFUND.
He announced, “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.
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“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.
“Note, and the President was very clear, not ceased properties, or recovered looted funds, but liquid funds, from the EFCC will now be transferred to NELFund.“
The minister said the decision was in line with a campaign commitment by Tinubu to expand access to education and provide financial support for Nigerian students.
He stressed that the funds covered by the directive would be limited to monies that are not subject to legal disputes or other restrictions.
The clarification means that seized properties and recovered assets still tied up in legal proceedings will not automatically be transferred to NELFUND. The directive applies specifically to liquid, unencumbered funds recovered by the EFCC.
The move is expected to provide additional funding for the student loan scheme as NELFUND continues to handle increasing obligations to students seeking financial assistance for their education.