The Academic Staff Union of Universities (ASUU) has cautioned the Federal Government against phasing out the Tertiary Education Trust Fund (TETFund) in favor of the newly introduced Nigerian Education Loan Fund (NELFUND), warning that such a move could severely damage Nigeria’s public university system.
“TETFund has been instrumental in transforming tertiary education across Nigeria for over 30 years. Scrapping it would devastate public universities and deny access to education for children from low-income families,” said ASUU President, Prof. Emmanuel Osodeke, during an interview on Thursday.
ASUU claims the proposed Tax Reform Bills under President Bola Tinubu’s administration threaten to dilute TETFund’s funding by merging it with other agencies, including NITDA and NASENI, and redirecting its resources to NELFUND.
The group criticised the lack of consultation with stakeholders before drafting the legislation, describing the approach as undemocratic.
“TETFund is the product of our struggle as educators. The government cannot unilaterally decide to dismantle it without engaging those who understand its importance,” Osodeke emphasised.
ASUU proposed that the government explore alternative funding mechanisms for NELFUND, such as allocating a percentage of Value Added Tax (VAT), rather than repurposing TETFund’s consolidated revenue from corporate taxes.
“We are not opposed to NELFUND. But the government must find a new source of funding without dismantling the existing framework that has sustained our universities,” Osodeke added.
He highlighted the significant role TETFund plays in providing infrastructure and academic development in public institutions, noting that 90% of physical structures in universities, polytechnics, and colleges of education are products of TETFund.
ASUU expressed skepticism about the sustainability of NELFUND, which offers student loans, arguing that the scheme could burden poor students with debt.
“With rising tuition fees, many students are already dropping out. Loans will only encumber them further, turning education into a privilege rather than a right,” Osodeke warned, citing the need for grants rather than loans to support education.
ASUU urged the government to uphold the legacy of TETFund, which has inspired similar initiatives like Ghana’s Education Trust Fund (GETFund).
“Countries in Africa are learning from TETFund. Scrapping it now would be a step backward for Nigeria,” Osodeke stressed, appealing to the government to prioritize education funding in line with global standards.
The union called on Nigerians to resist policies that undermine public education, warning that neglecting the sector could jeopardize the nation’s future.
“This is not just about ASUU; it’s about the survival of Nigeria’s education system and the opportunities it provides for millions,” Osodeke concluded.
