The Chairperson of the Parliamentary Budget Committee and Kiharu Member of Parliament , Ndindi Nyoro proposes doubling HELB loan of the current financial year.
Nyoro revealed on Saturday, June 10, that an additional Ksh15 billion would be allocated to the Higher Education Loans Board (HELB) in the 2023/24 fiscal year.
During the distribution of bursaries in his constituency, Nyoro stressed the government’s dedication to ensuring uninterrupted university education for students. Consequently, the HELB funds will increase from Ksh15 billion to Ksh30 billion once Treasury CS Njuguna Ndung’u presents the budget on Thursday, June 15.
The government has assigned Ksh630 billion to the education sector, overseen by Cabinet Secretary Ezekiel Machogu.
A portion of these funds will be utilized to hire 20,000 teachers in primary and secondary schools as well as technical and vocational training institutes.
“The government is placing great importance on education since the future of our country relies on the youth currently pursuing their studies. An educated generation paves the way for a promising future for our nation,” emphasized the Member of Parliament.
According to Treasury’s projections, President William Ruto’s inaugural budget is set at Ksh3.6 trillion, which is Ksh215.03 billion more than former President Uhuru Kenyatta’s final budget during his term in office.
In March 2023, HELB CEO Charles Ringera revealed that over 140,000 students would be unable to obtain loans due to insufficient funds.
“We currently have 140,000 students in TVETS and universities whom we haven’t been able to support, amounting to Ksh5.7 billion,” the CEO informed the Parliamentary Committee on Education.
As a result of challenging economic conditions, numerous graduates have struggled to secure employment, leading to difficulties in repaying their debts.
All graduates with outstanding HELB loans are expected to start repayment one year after graduation.
On May 9, Ringera dismissed claims that defaulters were being listed with the Credit Reference Bureau (CRB), clarifying that listing commences six years after graduation.