KEY POINTS
- NELFUND student loan disbursement not diverted, agency says.
- This claim follows audit framework.
- NELFUND student loan disbursement claims rejected by UniAbuja.
The Nigerian Education Loan Fund has dismissed reports alleging the diversion of student loan funds at the University of Abuja, stating that it has found no verified evidence to substantiate the claims.
In a statement on Friday, NELFUND said media allegations that funds meant for students were misappropriated by university officials do not amount to confirmed findings. The agency said its review so far shows no proof that the institution diverted or unlawfully withheld disbursements.
“NELFUND wishes to state clearly that, as of this moment, there is no verified evidence before the Fund establishing that the University of Abuja has diverted, misappropriated, or unlawfully withheld NELFUND disbursements,” the statement said.
NELFUND student loan disbursement under scrutiny
The university issued the response after an online platform alleged that officials diverted N256,142,500 disbursed for 2,245 approved beneficiaries for the 2025/2026 session. The report also claimed that officials lodged the funds in interest-yielding accounts and shortchanged some students.
NELFUND said it operates a structured disbursement and reconciliation framework consistent with its statutory mandate. Funds, it noted, are released through established institutional channels, with compliance mechanisms to ensure transparency and accountability.
The agency added that when concerns arise over timelines for crediting student accounts or reconciliation procedures, it engages directly with the relevant institution to resolve the matter administratively and in line with due process.
The loan disbursement defended
The University of Abuja also rejected the allegations. In a statement signed by Acting Director of Information and University Relations Habib Yakoob, the institution described the claims as false and lacking evidence.
The university confirmed that it received N256,142,500 on January 29, 2026, for 2,245 beneficiaries, but clarified that students must apply before it disburses NELFUND loan funds. Management added that some students paid their fees before the university received the funds to avoid missing the academic session.
NELFUND said it remains committed to safeguarding the interests of eligible students and will continue working with partner institutions to uphold the integrity of the student loan programme.


