Up to N10m payable as FG launches interest-free loan for tertiary school staff

The federal government has launched an interest-free loan scheme to provide financial support and professional development for staff at tertiary institutions across Nigeria.

The scheme is called the Tertiary Institutions Staff Support Fund (TISSF).

Tunji Alausa, the minister of education, unveiled the initiative in Abuja on Thursday, describing it as a strategic platform to empower both academic and non-academic staff.

He stated that the scheme is designed to give staff the financial stability they need to serve students with renewed dedication and live with dignity.

Alausa explained that the TISSF is a key part of President Bola Tinubu’s Renewed Hope agenda for education, which focuses on developing people as the nation’s most valuable asset for transforming the education sector and driving economic growth.

The programme is a joint effort between the federal ministry of education and the Tertiary Education Trust Fund (TETFund), in partnership with the Bank of Industry (BoI).

On eligibility criteria, Alausa said beneficiaries can access interest-free loans for various needs, including medical expenses, housing, transportation (including electric vehicle and CNG conversions), small-scale businesses, agriculture, and academic advancement.

“TISSF is more than a financial product; it is a workforce transformation tool,” Alausa said.

“By easing financial burdens, we expect to improve staff retention, boost morale, and enhance institutional performance for better student outcomes.”

Eligibility is open to confirmed full-time staff of all federal universities, polytechnics, and colleges of education.

Additionally, one state-owned institution in each of these categories per state is also eligible, bringing the total number of institutions to 248.

To qualify, applicants must have at least five years until retirement and be members of recognised staff unions.

Each eligible staff member can borrow up to N10 million, capped at 33.3 per cent of their gross annual salary.

The loans are interest-free and must be repaid over five years, with a 12-month grace period before repayments begin.