CROSS ROADS : Loans board, please put your house in order!

“Education is the most powerful weapon which you can use to change the world.” These are wise words of the late Nelson Mandela. Another renowned American Politician, Brad Henry at different times noted: “No other investment yields as great a return as the investment in education.” He further added that “an educated workforce is the foundation of every community and the future of every economy”.

Education is one of the great economic investments and an asset for the individual, community and the nation as a whole. One of the major philosophies of the Founding Father of our nation, Mwalimu Julius Nyerere was “education for self-reliance”. The thinking remains relevant even today. Since the world is changing, new knowledge is constantly needed to help solve the increasing and changing challenges of our times. We have changing needs as a nation -- socially, economically, technologically and politically. This includes the needs of higher education.

Tanzania like many other countries is experiencing increased higher education participation. This is due to the greater recognition that investment in human capital is vital for improving the quality of life of its citizens and also to reduce poverty.

It is commendable that different initiatives at all levels of education are making it possible for citizens (even the poor) to access college and university education. HESLB has been a game changer, as it provides them with loans to meet part of or all costs of their education covering tuition, books, stationary, faculty requirements, field training, and upkeep expenses.

Due to ever increasing demand for higher education students’ loans, there is need for establishing a more sustainable higher education students’ loan system -- which is effective and efficient in managing public allocated funds. The system must ensure that student repay their loans for the coming generations to benefit from the same funds.

News about the board this year has been very depressing. Last February, the minister for Education, Prof Joyce Ndalichako, ordered an internal audit to verify all reports and documents the board had filed to the ministry starting from 2013, a lot of irregularities were identified.

Among other irregularities, poor record-keeping was noted. In this age of computer and record management software readily available one cannot understand why HESLB has failed on this. It also speaks a lot about the problems, we, the beneficiaries of the loans sometimes have to undergo.

Putting the records in order and having a database that is working should be done urgently so as to avoid the embarrassment HESLB is forcing some beneficiaries into. I know many Tanzanians who are beneficiaries, and grateful, they don’t have any problems with repayment.

Unfortunately it’s a pity that HESLB’s loan repayment system even for the public employees (which should be the easiest) is in shambles. One of my relatives who is a loan beneficiary went to HESLB offices four years ago. She provided her details for deductions to begin through her employer. No action was taken and she travelled back to Dar es Salaam last June to report the same issue.

Personally, I completed repaying my undergraduate loan 4 years ago but early this month I was shocked to find my name sent to my employer indicating that I was a defaulter with a very huge figure. Some of my colleagues were also victims.

Gratefully, after I visited HESLB, the problem was sorted out. It was a case of poor record-keeping. HESLB should also initiate a system that after beneficiaries clear the debt, they send them loan clearance certificates through employers. Another shocking mess with the body -- people who never borrowed are being notified as defaulters! HESLB needs help in database management!

Saumu Jumanne is an assistant lecturer Duce