There is no plan to reduce student loan beneficiaries repayment rate, Minister of Education and Science Professor Joyce Ndalichako has told lawmakers in Dodoma.
Currently, beneficiaries of Higher Education Students' Loan Board (HESLB) are being deducted 15 per cent of their basic salary to service their loans as per amendments of the HESLB Act, 2004, passed by the National Assembly.
Before the amendment, recipients of the bursaries were repaying their loans through a monthly deduction of eight per cent only
In his supplementary question, MP Paschal Haonga asked if there is a plan to cut the repayment rate stating that there is absenteeism at work places because some can’t afford fares due to the HESLB deductions.
Prof Ndalichako said the decision to increase the rate from eight per cent to 15 per cent is a consensus reached between the governments with stakeholders.