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The National Union of Ghana Students (NUGS) has appealed to all stakeholders involved in the mobilisation and disbursement of the Student Loan Trust Fund (SLTF) to increase the loan amount to reflect the rising cost of living.“We have proposed an increment in the loan amounts provided to beneficiaries to account for the variations in programme costs and the rising cost of living,” it added.
The President of NUGS, Daniel Oppong Kyeremeh, made this call at a press conference in Accra. He also urged stakeholders to ensure that funds are released to students on time.
This, he explained, would allow the fund to access resources promptly and avoid situations where beneficiaries suffer due to delayed funds.
“We urge all stakeholders, including the GETFund, Ministry of Education, Ministry of Finance, and Controller and Accountant General's Department, to ensure that funds due to the SLTF are paid on time. This will enable the SLTF to disburse loans promptly to beneficiaries,” he added.
He noted that it was an irrefutable fact that the SLTF is a critical lifeline for many students in Ghana. However, it had come to the notice of NUGS that there had been numerous complaints regarding delays in the disbursement of loans and the high compounding interest rates.
These issues, among others, Mr. Kyeremeh explained, have placed undue financial burdens on students, hampering their academic progress and overall well-being.
He announced that NUGS had engaged with the SLTF leadership and made several proposals to address these concerns, which included speeding up loan payments, reducing interest rates, and making direct payments to schools.
He said the student union also called for a reduction in the compounding interest rates on student loans to make them more manageable for students upon graduation.
Regarding direct payments to schools, Mr. Kyeremeh proposed that the SLTF should make payments directly to the schools of beneficiaries. He said this move would help ensure that tuition fees are paid promptly, thereby preventing any disruption to students' education.
He commended the SLTF for their praiseworthy efforts in providing an efficient repayment framework for previous beneficiaries, adding that NUGS appreciated their dedication to the sustenance of this important financial support system.
Mr. Kyeremeh said the CEO of SLTF, Mr. Mahama Bayorbo, had confirmed receipt of their teacher trainees' allowance, which was being processed for payment. He added that NUGS appreciated the update and was looking forward to seeing these funds disbursed soon.
Regarding students abroad, he commended the Chief of Staff, Akosua Frema Osei-Opare, for her intervention and assurance that the government was working to ensure that they received their stipends.
