STUDENT UNIONS WELCOME REDUCTION OF INTEREST RATES ON STUDENT LOANS
By Nonhlanhla Phuti and Tellah Hazinji
The Copperbelt University Student Union has commended government’s decision to reduce interest rates on student loans from 15 to 10 percent effective January 2024.
Outgoing COBUSU President Castro Mulilo says the move by government to reduce the interest rates is welcome as students under government bursaries face various challenges in paying back these loans and reducing the interest rates will ease their financial burden.
Mr. Mulilo tells Phoenix News that going forward, government will consider scrapping off interest rates on student loans and is happy with the progress made by government to reducing the burden of students in higher education.
Yesterday Education Minister, Douglas Syakalima announced that following wide consultations between government and various stakeholders, student loans have been reduced from 15% to 10 % effective January 2024.
Meanwhile, the National Council of Student Unions has also commended government’s decision to reduce interest rates on student loans by 5 percent.
Union`s National Chairperson Michelo Chizombe says the reduction will provide some relief to former student loan beneficiaries and shows government’s commitment to engaging students on different matters and quickly responding to their requests adequately.