HELB Addresses Funding Shortage Prior to September Intake.
Despite a funding shortfall, Geoffrey Monari, the CEO of the Higher Education Loans Board (HELB), has reassured the Parliament that the board has sufficient finances to meet the September intake.
During his Saturday, August 9 appearance before the National Assembly Committee on Implementation, Monari was asked to clarify if HELB was prepared to pay for students’ expenses under the new funding model.
Given that some students are categorized into tiers that require them to pay hefty fees, how accessible are these monies to new students under the new funding model? Elijah Memusi, Kajiado East, inquired.
Monari told the committee that even though the allocation of the Ksh41 billion to HELB for the 2025/2026 fiscal year was not sufficient, the board was confident that the National Treasury would meet the deficit in the 1st supplementary.
In the meantime, he informed the MPs that since the funding had increased from Ksh36 billion in the previous fiscal year, HELB was prepared to assist both new and continuing students.
“Yes, we have funds to support the pupils. During our meeting with the National Treasury, they promised to review our tiny deficit during the first supplementary, he stated.
The announcement that the board had modified the loan disbursement mechanism for continuing students was made just a few days prior.
In the August 8 statement, HELB clarified that although the scholarship component had not been removed, it would be processed separately from upkeep funds.
“HELB has changed the structure of allocations; the scholarship has not been removed, it has just been separated from your upkeep and will be processed differently,” the statement read in part.
Currently, only the upkeep amount is reflected in students’ accounts.
In the new funding model, the upkeep funds will be allocated based on a band structure, representing the total for the academic year and will be paid out in two equal instalments, one for each semester.
Band 1 students will receive Ksh60,000 for the year, disbursed as Ksh30,000 per semester; band 2 students will get Ksh55,000 in total, with Ksh27,500 per semester; and band 3 will receive Ksh50,000 in two disbursements of Ksh25,000 each.
Band 4 students will get Ksh45,000, receiving Ksh22,500 per semester, and finally, Band 5 students will receive Ksh40,000, disbursed as Ksh20,000 per semester.
HELB Addresses Funding Shortage Prior to September Intake.
