The Nigerian Education Loan Fund, NELFUND, seeks more collaboration with the National Assembly to ensure the effective implementation of the new development levy, which takes effect on January 1, 2026.
Under the recently approved National Taxation Act (NTA 2025), a 4 per cent development levy will be imposed on the profits of taxable companies to be assessed, excluding small and non-resident firms as well as profits subject to hydrocarbon tax. NELFUND is allocated 25 per cent of the levy proceeds, a move the Fund describes as a “pivotal opportunity” to expand access to affordable education loans for Nigerian students.
In a statement signed by Mr Akintunde Sawyerr, the Managing Director/Chief Executive of NELFUND, it was stated that the new funding stream provides a more substantial base for the organisation to deliver on its mandate. However, the Fund stressed that success would depend on three key factors: timely appropriation by the National Assembly; efficient fund releases by the Ministry of Finance and the Office of the Accountant-General of the Federation; and robust nationwide sensitisation.
To fully harness the levy’s potential, NELFUND outlined its strategic priorities, which include launching nationwide awareness campaigns to educate students, families, and institutions on how to access loans under the new scheme, as well as investing in digital platforms and infrastructure for transparent and user-friendly loan applications and disbursement.
Others are strengthening partnerships with tertiary institutions to streamline administration and repayment processes and expanding inclusivity by targeting underserved regions and vulnerable groups to ensure no eligible student is left behind.
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