…says funds required, will be drawn from FG revenue
By Tom Okpe
Chairman, House Committee on Student’s Loan, Rep Gboyega Isiaka has assured Nigerians of the present administration’s resolve towards ensuring adequate funding of Student’s Loan for the benefits of Nigerians, studying in public owned Tertiary Institutions across the country.
He gave the assurance during a press briefing held in Abuja on Thursday, at the National Assembly, disclosing that, funds required for successful implementation of the loan will be drawn from one percent of all revenues accruing into the Federal Government’s Account.
Commending the initiative, Rep Isiaka explained that repeal of the initial ‘Student Loan Act’ was necessitated with a view, to remove all encumbrances that may deprive a lot of Nigerian Students from accessing the Loan.
He said: “The law has amended so many shortcomings in the 2023 law, in area of fund that we have.
“We have known corporate entity, called ‘Nigerian Education Trust Fund.’ We now have an institution that is strong, sustainable and comparable to what we have in different parts of the world.
“The patriotism and determination to make sure, this is sustainable success, still made the Executive and President Bola Ahmed Tinubu, far-reaching amendments, which has not become law.”
Expressing satisfaction with the initiative, Isiaka said: “I am satisfied that the Nigerian Government under President Tinubu has done so well for the Nigerian educational sector.”
Responding to question on the possible take off time of the scheme, he stated that the Executive will expedite action on the setting up of the management team of the Institution without further delay, saying, “every one is in a hurry, to get it done.
The lawmaker also, expressed optimism that management of the National Education Trust Fund, when constituted will be given marching order to commence work in earnest for the benefit of millions of Nigerian Students.
He further stressed that the loan has both economic and social benefits, pointing that it will be an interest free loan and flexible repayment arrangement, explaining also, that the loan covers both Tertiary, as well as skills and vocational education, with the law, making provision for repayment which is done immediately after you finish your studies.
On the exclusion of Private Tertiary Institutions from the scheme, Rep Isiaka affirmed that the issue was raised by concerned Stakeholders during the public hearing, saying: “For anybody that has the capacity to send his or her children to some of those private schools, will agree with me that the need for such loan is probably minimal.
“Frankly, the thing that I know is that, if you look at section 2 of the law, it says that the Nigerian Student’s Loan is set up to manage group of funds.
“This is a particular stream of fund, meant for public tertiary education and I know that plans are on, to see what can be developed for private education.”
He disclosed that anyone convicted is liable to N2 million fine or 3 months imprisonment or both.
“Section 6 of the law provides that the fund, will from time to time, reel out guidelines for the loan, every year.
“It’s the guidelines that will actually give more details about some of those things. In terms of school fees, may be another class of fund will take care of that,” he noted.
In a bid to address the challenge of repayment, he disclosed that there are adequate provisions in the law that will address the concerns.
