N’Assembly passes Student loan bill, requirements amended

The National Assembly has passed the Student Loans (Access to Higher Education) Act (Repeal and Re-Enactment) Bill, 2024, following considerations by both the Senate and the House of Representatives. 

The bill, which underwent scrutiny under the guidance of the Committee on Tertiary Institutions and TETFund, was presented to the assembly by Senator Muntari Dandutse (APC, Katsina South), the committee’s chairman. 

Reflecting on the deliberations, Senator Dandutse remarked, “This bill represents a pivotal moment in our commitment to facilitating access to higher education for Nigerian students.”

The genesis of this legislative endeavour can be traced back to a directive from Senate President Godswill Akpabio, who entrusted Senator Dandutse’s committee with refining the bill and report back within a week. 

President Bola Tinubu’s recent plea to repeal and replace the existing law with a revised bill further propelled the momentum for legislative action. After the temporary suspension of the student loan scheme, which was initially slated to commence last Thursday, 

President Tinubu’s proposed amendments are said to enhance the loan program’s accessibility and fairness. The Senate considered and endorsed them.

In a statement addressing the amendments, Senator Dandutse elucidated, “The revised bill eliminates barriers to access by removing the family income threshold and guarantor requirements. This ensures all eligible students have equal opportunities to benefit from interest-free loans.”

Furthermore, the revised bill incorporates provisions for equitable loan distribution across the nation, emphasising the principle of justice and fairness.

It also outlined a comprehensive repayment framework, stipulating that repayment commences upon employment and that a deferment option is available for individuals undergoing the National Youth Service Corps program.

Highlighting the importance of accountability, Senator Dandutse emphasised, “The bill underscores the gravity of providing accurate information to the Fund, with stringent penalties for false statements.”

It pointed out that any person who provides a false statement to the Fund under this section is guilty of a felony and is liable to imprisonment for three years.

In a nod to compassion, the bill extends provisions for loan forgiveness in unforeseen hardships, such as death or acts of nature, safeguarding beneficiaries from undue financial burden.

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