President Bola Tinubu on Monday signed the student loan bill into law.
The Bill, sponsored by Femi Gbajabiamila, the immediate past speaker of the ninth house of Representatives and Chief of staff designate, seeks to provide financial assistance to students of tertiary institutions in Nigeria.
The Nigeria Standard reports that the law seeks the establishment of the Nigerian Education Bank, which will have the powers to administer, coordinate, supervise and monitor the management of student loans in the country.
It will also receive applications for student loans through higher institutions in Nigeria on behalf of the applicants and screen the applications to ensure that all requirements for the grant of such loans under the Act are satisfied.
According to the newly enacted law, all students seeking higher education in public institutions of higher learning in Nigeria shall have an equal right to access the loan without any discrimination arising from gender, religion, tribe, position or disability.
Additionally, the Nigerian Education Bank will hold the power to approve and disburse loans to qualified applicants. It will diligently monitor and coordinate the students’ loan accounts, ensuring compliance with disbursement procedures.
The Nigeria Standard further reports that the bank will also keep track of the academic records of loan recipients, including information on their graduation, national service, and employment. This monitoring process ensures that loan beneficiaries commence repayment promptly when due, among other vital functions.
