Dept starts working on student loan scheme

By Rebecca Kuku
THE Government plans to introduce a student loan scheme from next year, Minister for Higher Education, Science, Research and Technology Pila Niningi says.
Niningi has instructed Secretary Father Jan Czuba to set up the loan scheme.
“We are looking at implementing the student loan scheme sometime next year – when funds are available,” he said.
“Our aim is to help all our students to be able to afford university and college education, and help ease the financial struggle of parents, especially from rural areas.”
Niningi said they would work with the National Identification Office and banks to roll out the loan scheme for students.
“The loan will be provided by the Government but the money would be parked with banks who will then facilitate the student loans,” he said.
He said there was no “maximum and minimum” to the amount that can be loaned.
“Student loans will cater for the actual fees charged by the university or college,” he said.
“So once a student obtains a student loan, the money will be paid directly into the school’s accounts as the school fees.
“The students can start repaying the loan once they start working.”
Niningi said students should be registered on the National Identification system before they would get a loan to make the repayment process easy.
The fact that some graduates do not get employed as soon as they graduate has also been considered.
“The loan scheme will be structured in a way that a student does not have to start paying as soon as he graduates, but as soon as he or she starts working,” she said.