A technical fault is the reason the Nigerian Education Loan Fund portal has halted the disbursement of upkeep allowances to student loan beneficiaries for two months.

A source within NELFUND, speaking anonymously as they lacked authorisation to address the matter publicly, disclosed that the agency was actively working to resolve the problem. "We have a system glitch, and we're trying to reconcile," the source told our correspondent, adding that efforts were ongoing to reconcile all affected transactions.

The disruption has hit beneficiaries of the N20,000 monthly upkeep allowance hard, with many depending on the stipend to cover feeding, accommodation, transportation, and other basic living costs while pursuing their studies in Public Tertiary Institutions.

The latest glitch is not the first time NELFUND has faced payment disruptions of this nature. In January 2026, the agency launched a one time reconciliation exercise to clear N927.98 million in outstanding upkeep payments owed to 11,685 students nationwide. NELFUND Managing Director Akintunde Sawyerr attributed those delays to technical and operational challenges, including temporary network downtime, failed transactions, and difficulties validating some students' bank account details.

A separate disruption in 2025 also saw the agency confirm a delay in upkeep disbursements, which it linked to a backend system upgrade aimed at improving the accuracy of student payment records. NELFUND clarified at the time that the upgrade was essential for ensuring transparency and accountability in the disbursement process.

The pattern of recurring portal related setbacks has raised fresh questions about the reliability of the agency's payment infrastructure, even as the student loan scheme continues to expand. Total disbursements under the scheme currently stand at N161.97 billion, comprising N89.94 billion paid directly to 263 public tertiary institutions for tuition and institutional fees, and N72.03 billion transferred to students as monthly upkeep allowances.

NELFUND was established under the Student Loans (Access to Higher Education) Act, signed into law by President Bola Tinubu in June 2023 and amended in 2024. The agency provides interest free loans to eligible students in Public Tertiary Institutions alongside monthly upkeep support to ease the financial burden of higher education.

Efforts to obtain an official response from NELFUND on the scope of the current glitch and a timeline for resuming payments were unsuccessful as of the time of filing this report.