The Federal Executive Council has approved the release of funds recovered by the Economic and Financial Crimes Commission for the education sector through the Nigerian Education Loan Fund.
The Minister of Education, Dr Tunji Alausa, disclosed this on Wednesday while briefing journalists after the FEC meeting.
Alausa said the decision was approved by the council as part of efforts to strengthen NELFUND and enable it to meet its growing financial obligations.
He said the Federal Government had also approved the channeling of unclaimed dividends from the Capital Market Trust Fund and the Dormant Account Trust Fund to NELFUND.
According to the minister, the Attorney-General of the Federation was mandated to work with the Ministry of Education to develop the necessary legal framework and modalities for implementing the decision.
“The President, in his benevolence, has now directed that all funds recovered by the Economic and Financial Crimes Commission be diverted to NELFUND,” Alausa said.
He, however, clarified that recovered funds currently subject to litigation would not be affected until the legal disputes surrounding them were resolved.
Alausa commended President Bola Tinubu for what he described as his commitment to transforming the education sector, saying the additional funding would help NELFUND meet its increasing obligations.
He also said the inclusion of unclaimed dividends and dormant funds would provide additional resources for the student loan scheme.
The decision is expected to provide NELFUND with additional funding to support eligible Nigerian students through its education loan programmes.
