Higher Education in Nigeria, Student Loan Bill & the Way Forward

I finished school at a time when the tuition fee was below 35,000 Naira per session, and many of my classmates were too poor to afford it. I had a friend in school, Elvis, who used to crowdfund for classmates who could not pay their fees. It was in my final year, a week before our examination, I saw the highest number of students crowdfund for their fees and reach out to Elvis for help.

When the student loan law was approved by the government some months ago, I was excited about it; it sounded like a good support policy for students who struggle to pay their tuition fees. But this excitement soon vaporised when I read the processes involved in securing the loan. Although Section 2 of the Student Loan Act says all students have an equal right to access loans without any discrimination arising from gender, religion, tribe, position or disability of any kind, further reading would show you that while students may not be discriminated against based on tribe or religion, the economic prowess/situation of their families may be the reason they may be alienated.

Section 14 of this Act says the applicant’s income or family income must be less than N500,000 per annum, this means that for a student to be eligible, his family must earn nothing more than 42,000 Naira monthly. Although it is commendable that the Student Loan Act is targeting people from the poorest demography, this section, to a large extent, shows the government may not fully be aware of the (poverty) realities of many Nigerians. First, the hike in school fees of federal universities in the hope that student loans will cushion its effect is counterproductive. Secondly, a family of 5 who is surviving on a 55,000 Naira salary currently lives below one dollar a day and is considered one of the poorest demographics in Nigeria, still, this family won’t qualify for a student loan, yet they cannot afford the newly-increased fees in federal universities. Students from these families have not only been left unsupported by the government, but the hike in fees may ruin their chances of getting a tertiary education.

How policies (or lack of them) affect students

If the Student Loan Bill aims to provide financial relief to students and parents who pay these fees – even if it is for a short while – other recent policies made by the government may just have thwarted its goal.

From the removal of fuel subsidies to the increase in tuition fees, the ripple effects of these policies are biting hard on students. The recent fuel subsidy removal led to a sharp rise in fuel prices and tripled transportation costs. For instance, the cost of transportation from the park to the Student Union Building and Nnamdi Azikiwe Hall at the University of Ibadan was 50 and 100 Naira respectively, however, the cost has increased to N100 and N200. At the University of Ibadan, the hike in transportation left Ada (note that names here are pseudonyms) struggling to manage her expenses. Fearing that she might exhaust her entire weekly allowance, Ada has decided to cut back on some classes and prioritise which classes to attend. 

Onome earns 90,000 Naira monthly. Since their parents passed away, he’s been supporting his 2 siblings who are in university and pays roughly 89,000 Naira annually for their fees combined. However, now their school fees have increased to a total of 225,000 Naira, along with the rise in transportation and feeding costs, it has become more difficult for Onome to manage. As a result, one of his siblings may have to drop out of school for the other to complete their studies.

Students are one of the most vulnerable groups affected by government policies; they bear the brunt of the consequences during economic downturns. And when a country faces a high cost of living, students are hit hard by increased house rents and soaring commodity prices. As a result, their lifestyles and budgets are severely impacted, and the quality of their lives drops.  

What could be the way forward?

Education is undeniably one of the most crucial pillars in every society. Its significance extends beyond acquiring knowledge and skills; it’s a fundamental driver of social, economic, and cultural progress.  

As the government enacts certain policies and developmental changes, it is important to consider diverse socioeconomic classes within the four walls of the school. This means that student-centric approaches should be adopted by implementing specific policies that cater to the diverse needs and challenges faced by students across various aspects of their lives. These policies should put into consideration key areas such as transportation, housing, and feeding, to ensure that students have the necessary support to excel and thrive.

It doesn’t end with the government, universities must get innovative and come up with strategies to mitigate student’s financial distress. Can a better housing/hostel system be created, for instance? Can a subsidised transportation system for students within campus be provided? Can lecturers offer both online and offline classes? Can they have fund-raising activities to help students who may be forced to drop out of school due to the current economic situation in the country? Can they partner with private individuals to establish grants, scholarships or any financial aid for students from disadvantaged backgrounds? Can food within campus be subsidised for students? This would not only create an environment where students can thrive, it would also foster academic excellence. It’s important to prioritise inclusive education where all students can flourish and succeed.

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