More than 453,000 university students could miss out on financial aid after the Higher Education Loans Board (HELB) disclosed a staggering KSh43.6 billion shortfall, raising fears of widespread disruption in higher learning institutions.
Appearing before the National Assembly Committee on Education, Higher Education and Research Principal Secretary Beatrice Inyangala warned that both universities and Technical and Vocational Education and Training (TVET) institutions are staring at severe financial strain unless the government urgently addresses the gap.
Inyangala revealed that in the 2025/26 supplementary budget, HELB received only KSh4.1 billion of the KSh10 billion requested for student loans. Similarly, the TVET department was allocated just Sh3 billion against a requirement of KSh29 billion for scholarships. She cautioned that the mismatch between demand and allocation could cripple operations, noting that universities are already struggling to pay staff salaries, with the government owing private institutions KSh60.2 billion.
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The revelations sparked sharp reactions from MPs. Lugari legislator Nabii Nabwera questioned why government-sponsored students continue to be placed in private universities despite underutilised capacity in public institutions. Inyangala clarified that new placements to private universities have been halted, but students already enrolled remain eligible for HELB loans.
Kitutu Masaba MP Clive Gisiro criticised the ministry for prioritising infrastructure projects over student support. “We have stalled projects, yet we are still funding new ones. Why are we putting money into infrastructure instead of supporting HELB or exploring partnerships with the Housing Department to build hostels?” he posed.
Luanda MP Dick Maungu raised concerns about possible misuse of funds, warning that allocations risk becoming disguised pending bills. “We are barely two months to the end of the financial year. This money cannot be absorbed. Is it a genuine project or a disguised pending bill?” he asked.
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However, PS Inyangala insisted that without adequate funding, thousands of students would be locked out of essential support, while institutions would struggle to sustain operations.
The committee is expected to table recommendations in the coming days
By Masaki Enock
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