Nigeria’s student loan scheme under Nigerian Education Loan Fund has been described as a transformative economic intervention, with financial expert Tunde Alao-Olaifa calling it a “financial time machine” that expands access to education while stimulating the economy.
Alao-Olaifa explained that the concept allows young people to fund their education by borrowing against future earnings.
According to him, students can invest in their education now and repay later when they become financially stable professionals.
He noted that before the scheme, most Nigerian students depended on family support, often described as the “Bank of Mom and Dad,” which has become increasingly strained in recent years due to economic pressures.
He credited the introduction of the programme under President Bola Tinubu as a major policy shift, stressing that funding education through structured loans is more sustainable than relying on overstretched households.
Highlighting its rapid growth, he said the scheme expanded from about 451,000 applicants and N45 billion disbursed in early 2025 to 1.7 million applications, over 1.1 million beneficiaries, and N206.2 billion disbursed by March 2026, while commending Managing Director Akintunde Sawyerr for efficient and transparent management.