On Wednesday, the National Assembly passed the Student Loans (Access to Higher Education) Act (Repeal and Re-Enactment) Bill, 2024.
This followed a thorough examination of the report from the Committee on Tertiary Institutions and TETFund by both the Senate and the House of Representatives. President Bola Tinubu had written to the Senate last Thursday, requesting the repeal of the existing law and the introduction of a new bill to replace it.
The President’s request came shortly after the temporary suspension of the student loan scheme, which was designed to provide interest-free loans to tertiary institution students to support their studies.
Tinubu signed the Student Loan Bill into law in June 2023, aiming to facilitate Nigerian students’ access to interest-free loans.
Subsequently, the Senate initiated a Bill for an Act to Repeal the Students Loan and Access to Higher Education Act 2023 and enact the Student Loans Access to Higher Education Bill 2024.
Although the student loan scheme was scheduled to commence last Thursday, the Presidency opted to make amendments to the bill before implementation, which the Senate promptly addressed during plenary.
The bill outlined the terms for loan repayment, specifying that repayment begins upon employment and allowing for an extension of enforcement action under certain circumstances.
Furthermore, the bill provided provisions for loan forgiveness in cases of death or circumstances beyond the borrower’s control. Overall, these amendments aim to make the student loan scheme more accessible and equitable for Nigerian students pursuing higher education.
Senator Muntari Dandutse, the chairman of the committee, presented the report during plenary, following Senate President Godswill Akpabio’s referral of the bill to the committee for further legislative work. The amendments proposed by President Bola Tinubu aimed to streamline the application process for student loans.
These amendments included removing the family income threshold as a condition for loan application, eliminating the need for guarantors, and ensuring fairness in the distribution of loans across the nation.
