NELFUND seeks n’assembly partnership to strengthen education financing through new development levy
The Nigerian Education Loan Fund (NELFUND) is seeking to work with the national assembly to ensure the smooth implementation of the new development levy, which takes effect on January 1, 2026.
Under the recently approved National Taxation Act (NTA) 2025, a four percent development levy will be charged on the assessable profits of taxable companies—excluding small and non-resident companies as well as profits from hydrocarbon tax.
Twenty-five percent of the levy’s proceeds is earmarked for NELFUND, a provision the agency says could transform education financing and expand access to affordable student loans across Nigeria.
Akintunde Sawyerr, managing director of NELFUND, said the fresh funding stream represents “a pivotal step towards transforming Nigeria’s education financing landscape,” but stressed that its success depends on timely appropriation by the national assembly and efficient fund releases by the ministry of finance and the office of the accountant-general of the federation.
“The 25 percent allocation from the Development Levy gives us the capacity to reach more students, strengthen our systems, and deliver on our mandate more effectively,” Sawyerr 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.”
Sawyerr noted that intensive nationwide sensitisation will be key to ensuring students, families, and institutions understand and take advantage of the new framework.
According to him, plans are already underway to expand awareness campaigns across the country to guide students and families on how to access the loans and also invest in digital platforms for transparent and user-friendly application and disbursement processes.
Sawyerr said NELFUND will also strengthen partnerships with tertiary institutions to streamline loan administration and repayment as well as deepen outreach to underserved regions and vulnerable groups, ensuring that no eligible student is left behind.
The NELFUND chief reiterated the agency’s commitment to accountability, transparency, and responsible fund management, assuring that every naira allocated will go toward broadening access to education and boosting Nigeria’s human-capital development.
