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• Sat May 31 2025

High default rates threaten new students? access to academic loans, raising concerns over HELB?s sustainability

Following this, HELB CEO Geoffrey Monari announced the institution?s plan to partner with police to track loan defaulters locally and abroad

Lawmakers are set to summon Education CS Julius Ogamba Migos to deliver a comprehensive plan addressing HELB?s challenges

Faith Chandianya, a journalist at TUKO.co.ke, brings over three years of experience covering politics and Current Affairs in Kenya

The Higher Education Loans Board has announced plans to unveil a powerful new strategy aimed at cracking down on defaulters, ensuring no one escapes responsibility when it comes to repaying their debts.

HELB CEO Geoffrey Monari announced a partnership with law enforcement agencies. Photo: Parliament of Kenya/NPS.

Source: Facebook

Will police track down HELB defaulters?

While appearing before the National Assembly?s Public Investments Committee on Governance and Education on Friday, May 30, HELB CEO Geoffrey Monari warned that the board?s growing loan portfolio is at risk due to widespread default by former beneficiaries.

He said HELB is nearing completion of a partnership with law enforcement agencies, including the police. Monari said the collaboration aims to identify employed graduates locally and overseas who have not yet begun loan repayments.

?This is not just about finance. It?s about fostering a sense of responsibility and patriotism among those who have benefited from the fund. Compliance ensures we can support future generations from needy backgrounds," Monari said.

Monari said that the high default rates are threatening the sustainability of the fund, making it harder for new students to access academic loans.

Committee members urged HELB to strengthen community outreach by increasing advertising, sharing real-life success stories from beneficiaries, and seeking funding sources outside government allocations.

They also stressed the importance of safeguarding HELB, recognising its crucial role in backing Kenya?s education system.

The lawmakers decided to summon Education Cabinet Secretary Julius Ogamba Migos to present a detailed plan tackling the challenges facing the institution.

?Education is the backbone of our nation?s future. We must not allow these institutions to collapse. Their survival is a matter of national interest," Committee chair MP Francis Sigei said.

University students decry HELB loan delay

In a separate incident, HELB faced criticism from university students who called for the urgent release of funds ahead of their exams.

Exams in most universities were set to begin after they were carried forward following the lecturers' nationwide strike in 2024.

Many students, however,r grappled with the possibility of being locked out due to unpaid school fees, which they were unable to settle because of delayed HELB disbursements.

Source: TUKO.co.ke