$5 billion in student loans to be written off by year end

With plans have already been announced to write off about $18 billion in debt, over the past 20 years, which is owed by students, up to $5 billion in total is expected to be written off by the end of the year.

General Secretary of the People’s Progressive Party (PPP), Dr Bharrat Jagdeo, assured that while over $200 million has already been written off, almost 3,000 students more will benefit before year end.

“The only criteria for you to be eligible is for you to be in Guyana…once you are here in Guyana and contributing to national development – that does not mean working in the public sector, you could be working anywhere – you will be eligible,’ he said on Thursday during a news conference at Freedom House, Robb Street, Georgetown.

He contrasted the current administration’s approach with the APNU+AFC, highlighting the fee increase during their tenure and the unfulfilled promise of free tertiary education.

“They promised to do it in a couple of weeks when they got into office…(instead) they increased the fees by 35 per cent at UG. We said in five years we’ll do this and that’s why we believe we have the capability. We plan everything,” Jagdeo underscored.

Earlier this year, Senior Minister in the Office of the President with responsibility for Finance and Public Service, Dr Ashni Singh underscored that government will commence the first stage of eliminating the outstanding student loans owed by graduates of the University of Guyana (UG) this year. “We will commence the first phase of eliminating outstanding loans owed by graduates of the University of Guyana, on the condition that these graduates can demonstrate proof of being employed or self-employed in Guyana after their graduation, for a minimum period to be specified,” he had said.

A total of 3,520 students from the University of Guyana graduated in 2023, and more than 70 per cent of them were employed at the time of graduation.

In 2024, during the reading of the national 2024 budget, Minister Singh announced phase one of the initiative, benefitting some 13,000 Guyanese.

Free tertiary education by 2025 is an essential element of the PPP/C 2020-2025 manifesto plans. To achieve this, President, Dr Mohamed Irfaan Ali said the government will implement a phased approach, first targeting individuals who hold university loans.