Why Student Loan Should Be Repaid Two Years After NYSC – Official

According to Akintunde Sawyerr, the Executive Secretary of the Nigeria Education Loan Fund, borrowers under the Federal Government's student loan programme will be required to repay the loans two years after completing the National Youth Service Corps (NYSC) programme.

Sawyerr, who appeared as a guest on Channels Television's Politics Today on Monday, stated that since there are other young people waiting in line to receive benefits from the programme, it is crucial that the loan be returned on time.

He stated that the government is attempting to address the issue of unemployment in the nation through various initiatives, but acknowledged that it could be difficult to repay the loan.

The current rate of youth unemployment in the nation is 35%; the government is working to address this through various initiatives. In actuality, successful applicants receive loans from us; why are you requiring repayment of those loans? There are other people waiting in line to apply for the programme and receive loans, which is one of the main reasons we require repayment of those loans. After youth service, the repayment period is two years—again, assuming they have a job.

“This doesn’t meant that people can’t pay back early, there are some who get very lucky and they end with oil companies and banks and they are able to do that or they have an uncle somewhere who says I am going to liquidate your loan for you,” Sawyerr said.