Shockwaves as N71.2 Billion Goes Missing from Student Loan Scheme
The numbers just don’t add up. Out of the hefty N100 billion set aside by the federal government for student loans—meant to break the financial wall between young Nigerians and a university education—less than a third actually reached students. The Independent Corrupt Practices and Other Related Offences Commission (ICPC) now finds itself deep in a probe, following the baffling shortfall: only N28.8 billion was disbursed, while a jaw-dropping N71.2 billion is unaccounted for.
The probe began after the Director-General of the National Orientation Agency, Lanre Issa-Onilu, flagged what he called “institutional fraud.” Reports suggest that the misuse and possible misplacement of funds isn’t limited to a single agency—the ICPC quickly zeroed in on multiple government players. Among those summoned: the head of the Nigeria Education Loan Fund (NELFUND), Akintunde Sawyerr, key officials from the Central Bank of Nigeria (CBN), the Director-General of the Budget Office, and the Accountant-General of the Federation. Their mission: explain where the money went, or prove it was never missing in the first place. Nobody seems willing to take the blame—at least, not yet.
Tertiary Institutions Under the Microscope
The scope of the scandal keeps growing. The ICPC’s investigation uncovered that more than 51 tertiary institutions allegedly took matters into their own hands, making deductions from student fees that ranged anywhere between N3,500 and N30,000. These deductions, pulled from loans that were meant to directly benefit students, only add to the outrage. For many students, getting a government loan was their best shot at affording a quality education. Now, they’re finding out that part of that money didn’t even reach school administrators without first being skimmed off the top.
NELFUND funding was supposed to be rock-solid. Money poured in from all angles: N10 billion directly from the Federation Allocation Account Committee, another N50 billion tracked by the Economic and Financial Crimes Commission, and two massive tranches of N71.9 billion each from the Tertiary Education Trust Fund (TETFund). Yet, with all of these cash streams, only a trickle actually reached those in need. Where did the rest go?
- Some sources in the education sector suspect that weak oversight allowed unscrupulous institutional administrators to divert or mismanage funds.
- Others point fingers at government bureaucracy and muddy channels, where paperwork and responsibility get endlessly passed around.
The public’s patience is wearing thin. Activists like Deji Adeyanju are openly calling for the arrest and prosecution of any official found culpable. Adeyanju said the time for bureaucratic excuses is over—ordinary Nigerians, he argues, deserve clear answers and speedy justice.
ICPC’s leadership has made it clear they don’t plan on letting this go. Their Chairman’s Special Task Force is digging into records, demanding receipts, and not letting top officials dodge hard questions. The agency says it’s determined to see a new era of transparency and accountability for public education funds.
The scandal couldn’t have come at a worse time. Families are grappling with economic stress, and the value of a degree remains out of reach for many. Now, with a cloud hanging over one of the government’s flagship loan programs, students and parents alike are asking if public promises of educational support were ever more than a headline.
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