The Nigerian government has announced that students who benefited from the Nigeria Education Loan Scheme (NELFund) will start repaying their loans two years after completing their National Youth Service Corps (NYSC) program [1]. This move is aimed at giving beneficiaries enough time to secure employment and stabilize their finances before starting repayment.
Key Highlights:
- Repayment Timeline: Repayment will commence two years after NYSC completion.
- Employment Consideration: Beneficiaries without employment two years after NYSC will not be compelled to repay.
- Automatic Deduction: Employers will deduct 10% of the beneficiary’s earnings and remit it to the NELFund.
- Loan Recovery: The government will recover the loan through a register of beneficiaries, which will be accessible to employers.
This development is part of the government’s efforts to support education and youth development in Nigeria.
