By Momodu Favour

Despite the significant impact of Nigeria’s student loan programme, concerns are mounting over alleged inconsistencies in the payment of monthly upkeep allowances to beneficiaries across tertiary institutions.

The Nigerian Education Loan Fund (NELFUND), which has been at the forefront of funding higher education since its launch about two years ago, has disbursed over N206 billion to more than 1.16 million students as of March 2026.

Data from the agency shows that the funds were distributed across 270 public tertiary institutions nationwide. Of the total amount, N128.84 billion was allocated to tuition fees paid directly to institutions while N77.45 billion was earmarked for students’ upkeep allowances, disbursed into beneficiaries’ personal accounts. Each student is entitled to a monthly allowance of N20,000.

However, while the tuition component has largely been described as consistent, the upkeep allowance has emerged as a major source of concern among students and parents.

Some beneficiaries have described the allowance as inadequate in the face of Nigeria’s rising cost of living, while others have raised alarm over what they termed irregular and inconsistent payments.

A parent, Mr. Adebola, whose daughter studies at the Federal University of Technology Akure, lamented that his daughter had only received the upkeep allowance twice despite being in her final year.

“While tuition payments have improved after initial hiccups, there has been a breach of trust regarding the monthly upkeep. She has only been paid twice. What happened to the other months?” he queried.

Similarly, Mrs. Odesola, whose son attends the University of Lagos, expressed frustration over what she described as inconsistent disbursements.

“The tuition aspect has stabilised, but the upkeep allowance remains a major issue. Payments are not regular, and that raises concerns,” she said.

She also voiced fears that poor record-keeping could result in students being held accountable for funds they never received.

“We know it’s a loan that must be repaid. Our fear is that, in the future, students might be asked to repay money they did not collect,” she added.

In response, NELFUND spokesperson, Mrs. Oseyemi Oluwatuyi, dismissed concerns over possible discrepancies, assuring that the agency maintains accurate records of all disbursements.

She clarified that upkeep allowances are only paid when institutions are in session, noting that payments are not expected throughout the entire calendar year.

“Students should understand that upkeep allowance is tied to the academic calendar. When schools are on break, payments are not made,” she explained.

Oluwatuyi further reassured stakeholders that beneficiaries would not be required to repay funds they did not receive.

“We have detailed records of beneficiaries, institutions, and all payments made. There is no possibility of students being asked to repay money they never collected,” she said.

Meanwhile, the Lagos State University has confirmed receiving funds from NELFUND for students who applied for loans in the 2025/2026 academic session.

In a statement, the university management disclosed that students who had already paid their tuition fees in full would be refunded, while those who made partial payments would receive refunds proportional to their payments, with the loan covering the outstanding balance.

The institution advised affected students to check their portals or contact the bursary department for updates. It also directed them to liaise with the NELFUND Desk Officer located at the Babatunde Raji Fashola Senate Building on the university’s main campus in Ojo.

While NELFUND continues to be hailed as a transformative intervention in Nigeria’s education sector, the growing complaints over upkeep allowances highlight the need for improved transparency, communication, and efficiency in the scheme’s implementation.

Stakeholders say addressing these concerns will be crucial to sustaining public confidence in what is widely regarded as one of the country’s most ambitious education financing programmes.