NELFUND pushes for NASS backing as new Development Levy promises education Breakthrough

The Nigerian Education Loan Fund (NELFUND) has called for stronger collaboration with the National Assembly to guarantee the effective implementation of the newly approved Development Levy, which takes effect on January 1, 2026.

The Fund stressed that timely appropriation, efficient releases, and broad-based sensitisation will be vital to ensuring that its 25% share of the levy is fully realised and deployed towards expanding access to affordable education loans.

The National Taxation Act (NTA 2025) introduces a 4% Development Levy on the assessable profits of taxable companies, excluding small and non-resident firms as well as hydrocarbon-related profits. Under the framework, NELFUND is entitled to 25% of the levy’s proceeds—an allocation that represents a major opportunity to scale education financing and help millions of Nigerian students pursue their academic goals.

While welcoming this funding stream as a critical step towards fulfilling its mandate, NELFUND warned that its success depends on seamless coordination among key institutions.

It urged the National Assembly to ensure prompt appropriation, while also calling on the Ministry of Finance and the Office of the Accountant-General of the Federation to guarantee efficient releases.

At the same time, the Fund underscored the importance of nationwide sensitisation so that students, families, and institutions clearly understand how to access and benefit from the new system.

NELFUND outlined plans to expand awareness campaigns, upgrade its digital platforms to guarantee transparent and user-friendly application processes, and strengthen collaboration with tertiary institutions to streamline loan administration and repayment.

It also reaffirmed its focus on inclusivity, pledging to extend its outreach to underserved regions and vulnerable groups to ensure no eligible student is excluded.

Speaking on the significance of the new funding structure, NELFUND Managing Director and Chief Executive, Mr. Akintunde Sawyerr, described the allocation as a turning point for education financing in Nigeria.

“The 25% 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 further assured stakeholders of its commitment to accountability, transparency, and prudent fund management. It pledged that every naira allocated would be channelled towards broadening access to education and building Nigeria’s human capital base.

For inquiries, NELFUND urged the public to reach out via email at [email protected]
or through its official social media platforms.