– Signs Students Loan Bill Into Law
President Bola Tinubu has signed the Student’s Loan Bill into Law, to guarantee Nigerian students in tertiary institutions access to funds.
An aide to the President, Dele Alake disclosed this to newsmen, on Monday, in Abuja.
The bill, which was sponsored by the Speaker of the 9th House of Representatives, Femi Gbajabiamila, was passed by both Chambers of the National Assembly in 2019.
Aside that the law seeks to provide interest-free loans to students of tertiary institutions in Nigeria, it shall cover only tuition fees in public institutions of learning in Nigeria.
Other details of the new act include, the establishment of a bank to be referred to as Nigerian Education Bank. The bank shall implement provisions of the Act.
The Board of the Bank shall be headed by a Professor or a retired Vice Chancellor of a Public University in Nigeria.
Applications by students shall be made through their institutions.
Payment of loans shall commence when the student has graduated, served and started working.
Processing of application shall be within 30 days after it reaches the Bank.
Repayment shall be direct deduction of 10% of the beneficiary salary direct by the employer or credited into an account to be provided by the Bank.
The Bank directly reports to the President at the end of every year.
Applicant’s income or family income must be less than N500,000 per annum.