As Nigeria prepares for the implementation of the new Development Levy, effective 1st January 2026, the Nigerian Education Loan Fund (NELFUND) has called for stronger support and collaboration with the National Assembly to ensure that its 25 percent allocation is fully realised and effectively deployed.

This was disclosed in a statement signed by Akintunde Sawyerr, Managing Director/CE, Nigerian Education Loan Fund (NELFUND).

The Fund emphasised that timely appropriation, efficient releases, and broad-based sensitisation are critical to unlocking the transformative potential of this funding in expanding access to affordable education loans for Nigerian students.

The recently approved National Taxation Act (NTA 2025) introduces a 4 percent Development Levy on the assessable profits of taxable companies, excluding small and non-resident companies as well as profits from hydrocarbon tax. Under this framework, NELFUND is allocated 25 percent of the levy proceeds, representing a significant opportunity to scale education financing and support millions of Nigerian students in pursuing their academic aspirations.

While this new funding stream provides NELFUND with a stronger base to fulfil its mandate, the Fund emphasised that effective implementation will depend on two critical factors: timely appropriation by the National Assembly and efficient releases by the Ministry of Finance and the Office of the Accountant-General of the Federation. “Equally important is intensive nationwide sensitisation, which will ensure that students, families, and institutions fully understand and embrace the opportunities available under this new framework,” the Fund said.

Outlining its forward-looking plans, NELFUND has committed to: expanding nationwide sensitisation campaigns to raise awareness among students, families, and institutions on how to access education loans under the new framework; investing in digital platforms and infrastructure to ensure transparent, efficient, and user-friendly loan application and disbursement processes; strengthening partnerships with tertiary institutions to streamline loan administration and repayment frameworks; and deepening inclusivity and outreach, particularly targeting underserved regions and vulnerable groups, to guarantee that no eligible student is left behind.

Speaking on the importance of collaboration, the Managing Director/CE of NELFUND, Mr. Akintunde Sawyerr, said: “The 25% allocation from the Development Levy marks a pivotal step towards transforming Nigeria’s education financing landscape. It gives us the capacity to reach more students, strengthen our systems, and deliver on our mandate more effectively. 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.”

NELFUND reaffirmed its unwavering commitment to accountability, transparency, and responsible fund management, assuring all stakeholders that every naira allocated will be directed towards broadening access to education and strengthening Nigeria’s human capital development.