This archive report was first published on 15 January 2020.
January 15, 2020
Kenya's Higher Education Loans Board (Helb) is taking a step towards digitizing its services by partnering with telcos to enable mobile payments for student loans.
According to a bid notice, Helb is inviting telcos like Safaricom, Airtel, and Telkom Kenya to submit their Expression of Interest for the provision of a mobile smart payment solution.
Helb's chief executive, Charles Ringera, stated that the move is aimed at increasing the convenience and efficiency of its services through automation and digitization.
Helb has been struggling with a high default rate, with 78,328 loan defaulters holding Sh7.7 billion as of December 31. The agency has been pursuing these defaulters through various means, including frequent threats of prosecution and credit bureau listings.
By partnering with telcos, Helb hopes to make it easier for students to receive their loans and for past beneficiaries to repay their loans, thus supporting a fresh group of students.
