President Bola Tinubu has forwarded a letter to the Senate, seeking for a repeal and re-enactment of the Access to Higher Education Act, 2023, otherwise known as the Student Loan Act.
President Tinubu ‘s communication came to the Senate a day after the announcement of a temporary suspension of the commencement of the student loan programme.
The President’s letter which sought an expeditious consideration of the bill read in part: “Pursuant to Section 58 (2) of the Constitution of the Federal Republic of Nigeria, 1999 (as amended), I forward, herewith, the Student Loan (Access to Higher Education) (Repeal and Re-enactment) Bill, 2024 for the kind consideration of the Senate.
“The Student Loan (Access to Higher Education) (Repeal and Re-enactment) Bill, 2024 seeks to enhance the implementation of the Higher Education Student Loan Scheme by addressing challenges related to the management structure of the Nigerian Education Loan Fund (NELF), applicant eligibility requirements, loan purpose, funding sources, and disbursement and repayment procedures.”
Following this request, the Senate read the bill for the first time and subsequently passed it for a second reading.
In his lead debate on the general principles of the bill, the Leader of the Senate, Senator Opeyemi Bamidele, APC, Ekiti Central noted that the bill will ensure to provide loans to qualified Nigerians to pay tuition, fees, charges and upkeep during their course of study in approved tertiary education institutions and vocational and skills acquisition institutions in Nigeria.
He said, “The bill will build, operate and maintain a diversified pool of funds to provide loans to qualified applicants and ensure access to higher education, vocational training, and skills acquisition.
“It will ensure the recovery of all debts due to the fund from loans granted to qualified applicants, except where the Board is of the opinion that a loanee should be exempted from repaying his loan by reason of death, considerations of hardship or equity and impossibility or undue difficulty, or the expenses to be incurred in the recovery of the loan being far more than the amount sought to be recovered,” he said.
The law was enacted to enable Nigerian students enrolled in tertiary educational institutions to obtain low-interest loans in order to finish their education.
Recall that the Bill which was signed by President Tinubu in June 2023 was supposed to be launched on Thursday 14th March, 2024, but was postponed indefinitely by the Federal Government.
This was disclosed by the Executive Secretary of the Nigerian Education Loan Fund, Akintunde Sawyer, during an interview with Arise News on Tuesday, 12th March, 2024.
He said, “Unfortunately, I won’t be able to commit to a specific date. We are sort of waiting to ensure that all the stakeholders are aligned to make sure that nobody is blindsided, then we can actually roll this out in a meaningful, comprehensive, wholesome, and sustainable way.”
The criticisms levelled at the qualifying requirements for applicants, repayment plans, and governance structure following the law’s signing may have some bearing on the president’s decision.
Supporting the passage of the bill, Senator Victor Umeh LP, Anambra Central who raised his concerns about the challenges that most Senators face in trying to create funds for their constituents to gain access to a proper education, said, “Most of us who are in this Chamber, will agree that most of the pressures errors receive from our constituents is centred on the need to get proper education but lack the funding.
“So most times we are overburdened by creating funds to support these young children. I know the pressure I see from young people.
“This is a very noble thing to do in Nigeria, it is done everywhere across the world, America and the UK. Students get access to loans to fund their education and when they graduate, they start paying back.”
On his part, Senator Sani Musa, APC, Niger East suggested that a percentage from bank charges be deployed to the student loan fund to ensure sustainability.
Senator Anthony Ani, APC, Ebonyi South who emphasised that a major challenge facing the Nigerians over the years has been lack of education, said, “One of the problems Nigerians have been having over the years is lack of funds and that is why you see some persons, children and adults out of school, simply because, no funds.”
In his remarks, the President of the Senate, Godswill Akpabio who noted that President Tinubu’s request was to repeal and reenact the bill in line with the vision, strengthen implementation and ensure sustainability in the programme, said, “A lot of children have been lured into criminalism, banditry and other vices, maybe as a result of poverty or circumstances.”
Following the support of this bill by all Senators, it was put to a voice vote and immediately passed for a second reading.
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