The Academic Staff Union of Universities (ASUU) has condemned the federal government’s Tax Reform Bill, as it concerns the Tertiary Education Trust Fund (TETFund).
Naija News reports that ASUU President, Professor Emmanuel Osodeke, said the Nigeria Education Loan Fund (NELFUND) reported to replace TETFund would do more harm than good to tertiary education in the country.
In an interview with News Central on Monday, Osodeke stated that many universities, polytechnic and other higher institutions increased school fees as a result of the student loan.
He alleged that NELFUND was created as a means to loot funds. He claimed that the introduction of student loan also caused high dropout rates in higher institutions.
“They never consulted, neither ASUU nor ASUP. They didn’t consult any union. Let me also give you the implication of what they are doing. Once they announced this NELFUND in 2023, between then and now, many universities and polytechnics have hacked up their fees. And students drop out has increased. We are doing a research on that, we are going to publish it to this nation.
“What has happened is that students population in Nigerian universities as of 2023 are down. Many have dropped out; because how many students want to borrow and be bordering themselves with so much loan when they graduate. That is one.
“Two, when you look at this year’s budget proposal by the executive arm, they are allocating around 127 billion naira for overhead cost for running of the NELFUND. Meanwhile, throughout the past two years, they have not allocated up to 50 billion as loan to students.
“You have not given 50 billion to students as loan, but you are going to spend 127 billion naira as overhead cost. It is just creating another bureaucracy where people will enjoy themselves. That is what you are saying; not with the interest of this country. If not, why would you put 127 billion naira as overhead cost to run a NELFUND? What you are giving to students in the whole of Nigeria as loan is less than 50 billion,” he said.
ASUU president added that the union wants TETFund to remain and not be scrapped for NELFUND. He advised the federal government to look for sources to fund the student loan programme.
“So that is the problem we are having. They should allow TETFund to stay. They should make people take the provision for their NELFUND. Look for other sources of funding, but allow TETFund to stay for the interest of this country. The interest of the parents, the interest of the universities and the interest of the country to have universities that the children of the poor can attend,” he added.
