NELFUND Extends Student Loan Scheme to Vocational Skills Centres in Nigeria

The Nigerian Education Loan Fund (NELFUND) has taken a bold step to expand its student loan scheme to vocational and technical skills centres across Nigeria, beginning with Enugu State. This move is part of a broader initiative to provide financial access to individuals pursuing practical skills in areas like fashion design, technical trades, and more.

During a sensitisation campaign held in Enugu, Iyal Mustapha, Executive Director of Operations at NELFUND, announced that the programme now includes vocational training institutions, offering loans that cover training costs, transportation allowances, living expenses, and even essential tools after graduation.

Why is NELFUND expanding its loan to vocational skills centres?
According to Mustapha, the goal is to support the growing demand for skilled workers by empowering more Nigerians with the financial support needed to access and complete technical and vocational education. The scheme is also aimed at reducing unemployment and boosting self-reliance through skill acquisition.

Enugu is one of the first states selected for the rollout. Mustapha explained that the loan application portal will be opened specifically for those interested in acquiring vocational skills, with designated training centres across participating states. These centres will act as hubs where applicants can receive training and access the loan benefits.

“We’re starting with Enugu among the first states,” Mustapha said. “We’ve seen different vocational skill centres—technical schools, fashion hubs—and it’s very promising. Applicants will not only have their training costs paid but will also receive transport support and upkeep, and even working tools upon completion.”

Although the exact upkeep allowance has not been finalized, Mustapha confirmed that charges like transport to the centres will be included in the loan. The amount paid for training will vary depending on the institution’s proposed cost.

He further revealed that this initiative has already reached over 10 states, with Enugu standing out as one of the most prepared. “The country is evolving, and the government now sees the value in vocational training as a powerful way to support communities,” he added.

At the MSME Clinics Fashion and Garment Hub in Enugu, where the delegation visited, Mustapha was impressed by the facility’s capacity. The hub features about 150 industrial sewing machines and monogramming machines, and can accommodate up to 500 trainees at once.

Arinze Chilo-Offiah, Special Adviser to the Enugu State Governor on Digital Economy and SME Development, expressed gratitude and readiness to fully absorb NELFUND’s support. He highlighted the opportunity for thousands of young people to access zero-interest loans for hands-on training in lucrative sectors like fashion.

At the Institute of Management and Technology (IMT), Enugu, Mrs Patricia Nwanneka, Acting Registrar, appreciated the awareness campaign. She said the programme will encourage more students to apply once they understand its benefits. “Now that they have more knowledge, we’ll continue to educate them and encourage them to apply for the loan,” she said.

With this expanded programme, NELFUND is redefining student loans in Nigeria by making them accessible beyond traditional academic institutions. The initiative promises to empower the youth with practical skills, contributing to national development and entrepreneurship.