Welcome reduction in SLB interest rate
Dear Editor,
During the past few weeks the 2017/18 national budget debate has found its way into the conversations of most Jamaicans. Labelling it as a ‘journey to prosperity’ Finance Minister Audley Shaw, in his presentation, indicated that the development of our human resource must become a priority, with education as the vehicle to reach this destination.
According to the government website
www.JamStats.gov.jm, the gross enrolment rate at the tertiary level has been steadily decreasing. The last statistics read 28.9 per cent enrolment at the tertiary level coming from a peak of 33.1 per cent in 2011. Unfortunately, the reduction in the number of students enrolling at the tertiary level may be attributed to the rapidly increasing costs of attending university. Tuition costs, particularly at our national universities, have been on the rise since 2013.
The Students’ Loan Bureau has been the main source of funding for many students who find it difficult to fund the cost of tertiary education up front. Thankfully, the Government has not only changed the method of calculating loan repayments to charging interest on the reducing balance, but has also slashed the interest rates to an all-time low of six per cent. These developments are welcomed by many current and prospective borrowers as they will lift a significant burden from their minds.
These bold changes are nothing less than long-term investments in the human capital of Jamaica, which will undoubtedly result in sustainable growth and development in Jamaica. The greatest return that our university graduates can give the taxpayers of Jamaica on this investment is to contribute to the revolving loan scheme by working steadfastly and wisely in the formal Jamaican workforce so that others can join us on the journey to prosperity.
Kinson Daniel Case
Former students’ union vice-president
University of Technology, Jamaica
kinsoncase@gmail.com