HELB Borrowers Could Get Relief as MPs Consider Major Change to Salary Deductions

Thousands of Kenyans repaying Higher Education Loans Board (HELB) loans could soon have a reason to smile following a new proposal seeking to reduce monthly salary deductions from 25 per cent to 15 per cent.

If adopted, the proposal could leave employed graduates with more money in their pockets to meet their daily needs as the cost of living continues to put pressure on many households.

The proposal was presented on Tuesday, October 27, 2026, during discussions by the National Assembly Committee on Education.

The committee was receiving views from education stakeholders on several proposed education laws that could change how student loans are managed and repaid in Kenya.

The discussions are expected to help lawmakers decide which changes should be considered before the bills are passed into law.

Mizizi Elimu Africa, an education lobby group, argued that reducing the deductions would make loan repayment more manageable for graduates.

Under the current proposal in the Tertiary Education, Placement and Funding Bill, 2026, deductions could reach 25 per cent of a borrower’s earnings.

The group wants the maximum rate lowered to 15 per cent, arguing that borrowers would have more money left after meeting their loan obligations and other expenses.

The proposed changes come as the government plans to replace HELB with the Tertiary Education Funding Authority (TEFA).

However, the suggested reduction is not yet law, meaning borrowers should continue following the existing repayment requirements until any official changes are approved and implemented.

Other education stakeholders have also called for reforms, including introducing grants alongside student loans, increasing education funding and reconsidering bursaries in favour of fully free education.

The committee is expected to review the submissions alongside views collected during public participation forums in the counties before preparing its report on seven education bills.

If lawmakers adopt the proposed 15 per cent limit, employed graduates could eventually benefit from lower monthly deductions.

For now, HELB borrowers will have to wait for the committee’s recommendations and Parliament’s final decision to know whether the proposed relief will become a reality.

https://x.com/Kenyans/status/2115124960565838236

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