NELFund seeks national assembly partnership for timely release of development levy funds

The Nigerian Education Loan Fund (NELFund) has sought the national assembly’s support to ensure the full and timely release of its 25 per cent allocation from the new development levy.

This call for collaboration, it said, aims to strengthen the agency’s capacity to provide affordable education loans to Nigerian students.

The development levy, introduced by the new National Taxation Act (NTA 2025), imposes a 4 per cent levy on the assessable profits of taxable companies, excluding small, non-resident companies and those with hydrocarbon tax.

It is set to take effect on January 1, 2026.

Under this new framework, NELFund is allocated 25 per cent of the levy proceeds, a move that is expected to significantly boost the fund’s ability to finance education for millions of Nigerian students.

Speaking on the partnership, Akintunde Sawyerr, the managing director/chief executive of NELFund, said the 25 per cent allocation is a pivotal step towards transforming education financing in the country.

“The 25 per cent allocation from the development levy marks a pivotal step towards transforming Nigeria’s education financing landscape. It gives us the capacity to reach more students, strengthen our systems, and deliver on our mandate more effectively,” he said.

“However, for this opportunity to translate into real impact, we need strong collaboration with the National Assembly in the appropriation process and in nationwide sensitisation, while also working with the Ministry of Finance and the Office of the Accountant-General to ensure efficient releases.

“Together, we can build a stronger, more inclusive system where no Nigerian student is denied the chance to learn because of financial constraints.”

NELFund noted that for the new funding stream to be effective, two critical factors must be considered: timely appropriation by the national assembly and efficient releases by the ministry of finance and the office of the accountant-general of the federation.

The agency added that nationwide sensitisation campaigns are also crucial to ensure students, families, and institutions are aware of the new opportunities.

It said it will expand its sensitisation campaigns to raise awareness, invest in digital platforms for transparent loan applications, strengthen partnerships with tertiary institutions, and deepen its outreach to underserved regions to ensure no eligible student is left behind.

NELFund reaffirmed its commitment to accountability and transparency, assuring stakeholders that every naira will be used to broaden access to education and strengthen Nigeria’s human capital.