Controller plans salary deductions of 4,000 public sector workers who still owe student loans

The Controller and Accountant General, Kwesi Agyei, has revealed that more than 4,000 public sector employees currently on the government payroll have outstanding debts owed to the Student Loan Trust Fund (SLTF).

He said the Controller and Accountant General’s Department is collaborating with the SLTF to recover the loans through salary deductions in accordance with existing laws and regulations governing public sector payroll management.

Mr. Agyei disclosed this at the launch of activities marking the 20th anniversary of the Student Loan Trust Fund on Thursday, June 18.

According to him, the initiative is intended to improve loan recovery rates and ensure the long term sustainability of the student loan scheme for future beneficiaries.

“We have already identified over 4,000 on the government payroll through the collaboration with the Trust Fund. In the coming days, we will engage with the Trust Fund on the modalities of implementing these deductions. We envisage that this deduction will become one of the important statutory sanctions on their salaries,” he stated.

He noted that the planned deductions would strengthen compliance among beneficiaries and contribute to the continued availability of financial support for students pursuing higher education.

Meanwhile, the Chief Executive Officer of the Student Loan Trust Fund, Dr. Saajida Shiraz, announced a significant expansion in access to student loans, revealing that the regular loan package has increased by 50 percent.

She attributed the development to the timely release of funds from the Ghana Education Trust Fund (GETFund), which has enabled the Trust Fund to disburse more than GH¢127 million to over 46,000 students.

Dr. Shiraz indicated that all loan applications received under the programme had been fully funded.

The Chairman of the GETFund Board, Emmanuel Bedzrah, also reaffirmed the Fund’s commitment to supporting tertiary education by ensuring the timely release of resources for student loan disbursements.

He said GETFund remains committed to working closely with the Student Loan Trust Fund to expand access to higher education financing and support students across the country.