Govt. to offer loans for higher education

The Government is to offer loans to selected students ranging up to one million rupees to complete their higher education to be repaid after the student gains employment. Minister of Higher Education Lakshman Kiriella told Education Times that the students will be selected from those who are eligible to gain entrance to universities, but eventually cannot enter due to the limited number of students accommodated.

The proposal for the scheme was made by Prime Minister Ranil Wickremesinghe.

Under the proposed scheme, which is due to come into effect next year the government is considering offering the loan on an interest free basis or charging interest for a part of the loan. The Finance Ministry is currently discussing the scheme to be offered.

The students selected will be required to apply for courses or degrees offered by private or other institutions accepted by the Ministry of Higher Education.

Mr. Kiriella said that similar schemes exist in other countries including UK where student loans are repaid as they find suitable employment.

‘Only about 18 per cent of those eligible are currently accommodated in universities and therefore it will provide an opportunity for students to complete their higher education,” he added.

Additional Secretary (Development) of the Ministry of Higher Education, Madhawa Devasurendra said that the students will be able to select the required course and then inform the Ministry of Higher Education enabling the ministry to co-ordinate offering the loan through a state bank.

“We expect that it will be an attractive scheme for students to follow higher education as many of the private institutions also offer courses catering to the job market,” he explained.

He said that students with high marks, but coming from low-income groups and unable to pursue their higher studies will be given priority in the selection scheme.