Glen’s bill was rejected by Uhuru, according to Mr Kenyatta’s report to Parliament on Tuesday. The Helb bill would have done more harm than good.
Furthermore, the proposed modification will make it impossible for borrowers to repay their loans on time even if they have finished their studies or work for themselves.
Help is designed to be a revolving fund where recipients who have finished their education repay the loans to support a new class of students.
This, however, has not been the case in an economic environment where hiring weak business results.
![Helb](https://www.kenyastatenews.com/wp-content/uploads/2022/06/images-65-300x239.jpeg)
Numerous graduates are unemployed, putting them at risk of paying the monthly penalty for failing to return their Helb loans.
Numerous graduates are out of work, putting them at risk of paying the monthly penalty for failing to return their Helb loans.
Defaulters
Helb is currently dealing with a large number of beneficiaries who have fallen behind on their loans, which is harming the fund’s capacity to help other students.
According to official data, the number of Hleb loan accounts in default rose to 109,661 in March from 106,443 in December 2020, with outstanding loans totalling Sh10.9 billion.
This brings to light the difficulties that recipients encountered while making repayments based on their paystubs or, in the case of self-employed recipients, the cash flow from their enterprises.
Hleb’s capacity to assist university and technical college students has been damaged by the rising defaults, which have resulted in allocation cuts that prevented more than 75,000 university freshmen from receiving State loans after being admitted in September.
Unhappy background students
The majority of loan applicants are from low-income families and depend on Hleb for assistance.
Interest rate
All loan recipients will be given a 100 per cent waiver of any outstanding penalties on their loan accounts, the Higher Education Loans Board (HELB) declared last month to the jubilation of thousands of many students struggling to pay back their loans.
Starting on March 1 and lasting until April 30, 2022, the #KamilishaMalipoYaHelb campaign.
According to the CEO, Charles Ringera, the decision was made to thank loan recipients for their commitment to repaying their loans despite the consequences of Covid-19.