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Students loan scheme in balance over Shs 5 billion budget gap

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Government’s delay to release Shs 5.6 billion to fund the next batch of students to access the students loan scheme could leave the programme in the balance.

According to officials from the Higher Education Students Financing Board (HESFB), government is yet to release funds required to facilitate new students joining the nine public universities and selected chartered private universities in the 2017/2018 academic year.

Rev Fr Prof Callisto Locheng, HESFB board chairman, revealed to legislators on the Education committee last week that the delay would cripple the board’s work, including calling for applications and selection of students joining the universities between June and September this year.

“We cannot advertise calling for new students to apply if this money is not there. We pray that we get that money and be able to remit to the universities and other tertiary institutions on time before the academic year begins,” Prof Locheng said.

Since 2014, the Higher Education Students’ Financing Board has been providing loans and scholarships to a total of 3,799 students pursuing science-related courses. The funds cover tuition fees, research, functional fees, as well as aids and appliances for persons with disabilities (PWDs).

Michael Wanyama, the executive director of HESFB, said so far, Shs 7.6bn has been paid out in the 2016/2017 financial year for new and continuing students in the different institutions of higher learning.

However, Wanyama expressed concern over the little funding towards the scheme, in spite of the swelling numbers of students interested in enrolling for loans and scholarships.

“We need to double the numbers over the next three years; however, it has remained static between 1,000 and 1,200 students enrolling whereas the numbers keep increasing and the chartered universities also keep increasing,” Wanyama told the MPs.

Micheal Wanyama, executive director of the loans board. The loan scheme hangs in a balance

He also revealed that the scheme does not include accommodation and meals, which have seen some students drop out of the universities.

REACTIONS

Some legislators, citing the 2016/2017 applications, expressed displeasure over the criteria used to select beneficiaries from the districts.  In Arua, 63 applied and 12 got; 5 out of 20 students from Bukwo received loans; 31 out of 76 students from Bushenyi got; 1 out of 2 students from Buvuma got; 3 out of 13 were from Buyende; 20 out 60 from Kanungu got; 9 out of 25 were from Kween while 41 out of 102 students benefitted from Mbarara.

“Weaker districts which are very poor have not benefitted from this. There seems to be unfair distribution of the loans,” Joseph Ssewungu (Kalungu West) noted.

DRAMA

There was drama during the committee meeting when MPs asked the state minister for Higher Education, Dr Chrysostom Muyingo, to leave the meeting, to allow the officials from the students’ loan scheme to speak freely.

Before he left the meeting, Dr Muyingo assured the committee that government was committed to funding the loan scheme, an assertion legislators loudly rejected. The minister added that with the budget process ongoing, the ministry would look for the funds to ensure the students are enrolled.

“This is our baby and we want it to grow. We are looking for the funds right now; so, let us be patient,” Muyingo said.

The students’ loan scheme was introduced by government in 2013 with the aim of benefiting 1,000 students pursuing science-related programmes in public and private universities.

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