450,000 Learners’ Dreams at Risk as HELB Declares Financial Crisis

The future of over 450,000 Kenyan students hangs in the balance after the Higher Education Loans Board (HELB) announced that it is facing a severe financial shortfall, leaving the agency unable to meet the growing demand for education loans.

In a troubling revelation, HELB admitted that it was unable to fund 100,000 eligible university and college students last year due to budget constraints. The situation is now even more dire, with the board citing a widening gap between the number of applicants and the funds available.

The financial crunch has been worsened by a high rate of loan default, with many graduates failing to repay their loans on time. This has significantly reduced the revolving fund capacity that HELB relies on to support new applicants.

With more than 450,000 students relying on HELB for tuition and upkeep, the crisis threatens to derail the academic progress and career hopes of a large section of Kenya’s youth.

HELB has called on the government and other stakeholders to intervene urgently, warning that without immediate financial support or reform of the student loan system, the sustainability of higher education funding in Kenya remains in jeopardy.