Students' Loan Bureau interest rate may be reduced

THE STUDENTS' Loan Bureau (SLB) could soon introduce reduced interest rates to tertiary students.

Finance and the Public Service Minister Audley Shaw announced this week that the Government was taking a serious look at reducing the interest cost to students.

"One of the things I have directed them to also look at is the existing portfolio of loans to not just reduce the interest rate to new applicants, but to look at the existing portfolio to see if they can recast the interest rate to a lower rate structure," he said.

Shaw, who was responding to questions from members of parliament during the sitting of the Standing Finance Committee, said he had given instructions to the SLB to review the rates.

According to Shaw, he would be briefed by executives at the SLB shortly on the issue.

The Government has set aside $150 million in the 2010-2011 Estimates of Expenditure.

The finance minister said the sum allocated was a special grant to the SLB for providing assistance to students with "extraordinary" needs.