President Bola Tinubu has directed that eligible liquid funds recovered by the Economic and Financial Crimes Commission (EFCC) be transferred to the Nigerian Education Loan Fund (NELFUND).

Education Minister Tunji Alausa announced the directive after Wednesday's Federal Executive Council meeting, saying the measure is intended to strengthen NELFUND's capacity to meet its expanding financial obligations to Nigerian students.

The announcement was made on Wednesday, August 19, 2026, during a briefing by Alausa after the Federal Executive Council meeting.

The minister said the President had approved the transfer of qualifying funds recovered by the EFCC to NELFUND as part of efforts to provide additional financial support for the student-loan programme.

The government also approved the transfer of certain unclaimed dividends held through the Capital Market Trust Fund and Dormant Account Trust Fund to NELFUND.

Alausa said the additional funding is intended to ensure that NELFUND remains financially capable of meeting its growing obligations to students.

A key qualification in the announcement concerns the type of EFCC recoveries that can be transferred.

Alausa said the directive applies to liquid funds that are unencumbered and not subject to ongoing legal disputes.

He specifically clarified that the directive does not mean seized properties or other assets involved in legal proceedings will automatically be transferred to NELFUND.

The minister said:

“The President was very clear, not seized properties, or recovered looted funds, but liquid funds, from the EFCC will now be transferred to NELFUND.”

He also said the funds covered by the arrangement would include money that is not legally encumbered.

NELFUND has become a major mechanism for providing loans to Nigerian students, making the availability of sustainable funding important to the continuation and expansion of the programme.

The latest directive could provide another source of government funding, although the government has not disclosed the total amount of EFCC recoveries or unclaimed dividends that will be transferred.

The announcement therefore establishes the policy direction but does not yet indicate the exact financial value of the intervention.

The decision comes as the Federal Government continues to expand the student-loan system established to improve access to tertiary education.

Under the arrangement announced by the government, NELFUND is responsible for administering student loans and related education financing.

The latest directive is also different from simply taking possession of confiscated property. According to the minister, only qualifying liquid funds that are not tied up in legal disputes are covered by the EFCC component of the directive.

The Federal Government has not yet provided details on the exact amount expected from EFCC recoveries or unclaimed dividends, or when the first transfers to NELFUND will be completed.

Further details on the implementation of the directive are expected as the government puts the Federal Executive Council's decision into effect.