Student Loan Bureau faces PAC scrutiny as delinquency stays near 48 percent

Members of Parliament pressed the Student Loan Bureau (SLB) on July 15, 2026, during a Public Administration and Appropriation Committee session focused on tertiary education financing, as officials outlined lending volumes, rising defaults, and planned reforms.

Executive Director Nikisha Walsh told the committee the bureau finances study at up to 38 approved institutions across Jamaica and the Caribbean, supporting roughly 10,000 students each year. Over the past five years it disbursed about $20.8 billion through targeted, pay-as-you-study, and postgraduate products, with interest rates ranging from about 3% to 9.5% depending on programme and benefits.

Walsh said delinquency on loans in active repayment stood at 47.5% as at March 2026, down slightly from prior peaks but still a major strain on the revolving fund. She attributed a sharp fall in new loans after 2021–22 to post-COVID enrolment drops, early problems with a new online system, and a guarantor requirement that many families could not complete. That requirement has since been removed, and applications rose from 6,888 in 2024–25 to 8,051 in 2025–26.

Revenue over five years included roughly $8 billion from repayments, $3 billion from investments, and $3.2 billion in government support. MPs challenged what they called inflexible collection practices, citing constituents saddled with large arrears, low graduate salaries, and limited options to reduce payments while pursuing further study. Walsh said the bureau offers restructuring, payment plans, and case-by-case waivers, but urged borrowers to contact the bureau early.

Officials also said SLB is developing financing for short-term courses of up to about $600,000 at 6% interest, and shares data with universities on programmes with very high default rates. The committee’s next meeting was set for Wednesday, 23 September 2026, at 10:00 a.m.