HESLB targets 920bn/- loan recovery

DAR ES SALAAM: THE Higher Education Students’ Loans Board (HESLB) targets to recover more than 920bn/- in unpaid student loans through a nationwide campaign aimed at addressing growing arrears that continue to strain the sustainability of higher education financing.

The campaign dubbed ‘KiduchuFresh Tunasonga,’ targets 135,186 beneficiaries who have yet to begin repaying their loans, many of them working in the informal sector where income tracking remains a major challenge.

Speaking yesterday at the launch, Deputy Minister for Education, Science and Technology, Wanu Hafidh Ameir, presented a detailed overview of the country’s student loan recovery performance, describing both progresses made and the scale of outstanding obligations.

She said in 2004, annual collections stood at about 50m/-, but have steadily increased over time due to reforms and improved systems.

“Between 2021 and 2023, collections reached about 100bn/- annually, last year, collections rose to 200bn/-, and this year we are projecting about 250bn/- in recoveries.”

Ms Wanu further said that the total matured loans now stand at approximately 2.8tri/- owed by about 590,000 beneficiaries, with the board currently able to recover about 70 per cent of the expected amounts.

She said previous recovery efforts had also delivered results, including the Fichua campaign, which generated about 20bn/- in identified recoverable loans, alongside broader collection reforms implemented by the board.

The Deputy Minister said that in the current phase of government support for education, more than 4tri/- has been disbursed by the government to expand access to higher learning institutions. She said that the KiduchuFresh Tunasonga campaign is designed to ensure sustainability of this investment while encouraging a shift in repayment culture.

Ms Ameir said the campaign introduces a practical approach that encourages even minimal repayments, stressing that small contributions can collectively make a major national impact.

“This is about changing mindsets, even small, consistent payments matter. What is important is the intention and commitment to repay,” she said.

She added that the initiative is expected to strengthen financial discipline, promote credit participation in the economy, and support broader economic growth through improved credit penetration and responsible financial behaviour.

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“The goal is to build a modern economic environment where citizens understand credit responsibility and manage public resources sustainably,” she said.

HESLB Executive Director, Dr Bill Kiwia, said the campaign will focus on expanding outreach and simplifying repayment systems for beneficiaries. He said repayments will be made easier through cash options, mobile money services, QR code systems and the HESLB ‘LIPA’ digital portal, designed to improve accessibility and convenience.

Dr Kiwia said that, “the campaign will also intensify communication with borrowers and stakeholders to ensure wider compliance, particularly among those in the informal sector.” He said previous initiatives had contributed significantly to improved collections, including the Fichua campaign and earlier reforms that improved tracking and compliance. In the third quarter ending March 2026, HESLB collected 175.9bn/- surpassing its target of 165bn/-, while the annual target stands at 220.3bn/-.

Nearly one million Tanzanians have benefited from government loans totalling about 9tri/-, underscoring the importance of sustained repayments to maintain the revolving education fund. Dr Kiwia called on beneficiaries, employers and stakeholders to support the initiative by strengthening accountability and ensuring timely repayment.