Section 7: Functions of the Bank.

The functions of the Bank shall be to(a) approve and disburse loans for educational purposes;
(b) provide loans to students to finance their education in institutions of higher education;
(c) recover loans disbursed under this section;
(d) provide short-term loans to individuals or other bodies in appropriate cases, if it is satisfied-
(i) that the purpose for which the loan is requested is viable and would enhance the educational development of Nigeria; and
(ii) that there is adequate security for the loan;
(e) promote the mobilisation of savings and grants from the public and private sectors for educational investments;
(f) accept deposits from individuals, institutions and organisations to finance educational investments;
(g) provide financial advice on educational matters to institutions of higher education, and to parents, students and educational investors;
(h) engage and participate in other banking and commercial business, including leasing, fund and management, foreign exchange and letters of credit;
(i) promote the development of viable research. consultancy services and relevant ventures within institutions of higher education and research institutes and centres;
(j) aid authors by providing them with loans for the purpose of financing the printing and publishing of educational books; and
(k)
do anything or enter into any transaction which in the opinion of the Board is necessary to ensure the proper performance of its functions under this Act.