This left many wondering whether the 10-year-old scheme was on the verge of closing. As YUDAYA NANGONZI writes, the board has finally been cleared to support this category of students. The new funding follows parliament approval of the board’s supplementary budget of Shs 13.958bn to cater for payment of outstanding arrears and admission of a new cohort of students.
In an interview with The Observer, the HESFB executive director, Michael Wanyama, commended the government for the latest approval as many needy but brilliant students supported under the scheme had been locked out.
“There has been a delay to call for applications this year because parliament had not appropriated money for us. However, along the way, they recognized that it was an error. Under the supplementary discussion, the budget was finally approved towards the end of 2023,” Wanyama said.
He added: “The ministry of Finance has also confirmed to the board that we are going to receive this money and should go ahead and call for applications.”
Wanyama said whereas the need for the loans is enormous, of the Shs 13.958bn, at least Shs 5bn will be deducted to support only 1,100 new students at a unit cost of about Shs 4.5m per student.
The remaining balance will settle part of the domestic arrears that have been accumulated as a result of budget cut releases. Prospective needy but brilliant students admitted to Science, Technology, Engineering, and Mathematics undergraduate diploma and degree programmes have only two weeks to apply online for study loans.
Under affirmative action, persons with disabilities are allowed to apply for science or humanity courses at both public and private chartered institutions. On the backdrop that the tourism sector is key to economic growth, the board will, for the second year, award loans to humanity students in hospitality, leisure, and tourism courses.
Wanyama urged students to beware of quacks during this process and remain factual in their applications because any falsification of information would be tantamount to disqualification.
“Let no one deceive you that they know staff at the board who will help you get a study loan. We use a scientific tool to sieve applicants while the entire board sits to vet all beneficiaries,” he said.
LOAN REPAYMENT
Since its inception in 2014, the board has awarded study loans to 13,405 students. Of these, at least 6,928 students are due for loan repayment. At least 1,134 students are making some remittances, while 109 students have completed repayment before the expiry of their loan repayment period.
According to the HESFB Act, 2014, the maximum repayment period is twice the study period, though there is also room to negotiate favorable repayment terms, including early repayment. For instance, if a loan beneficiary studied for three years, one has at least six years to repay the loan.
The student loan covers tuition fees, functional fees, research expenses, and aids and appliances for persons with disabilities. The beneficiary caters for their accommodation and other requirements.
inarticle} inarticle}
