According to the document that was presented to President Uhuru Kenyatta on Wednesday, October 21, the newly launched Building Bridges Initiative (BBI), has proposed a grace period of four years for Higher Education Loans Board (HELB) beneficiaries from the date of completion of their studies, before they are expected to make payments for their loans.
The report suggested that graduates be allowed to request exemptions from making payments till they secure jobs.
“The amendment seeks to give loanees a grace period of four years from the date of completion of their studies. After this, they can commence repayment of loans advanced to them.
Further, it amends the Act to exempt loanees without a source of income, upon application to the Board, from paying interest on the loans advanced to them, till such time when the loanees shall start earning an income,” read a statement.
The Bill seeks to amend the Higher Education Loans Board Act, 1995 that only offered the beneficiaries a grace period of one year after completion of studies.
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