Summary of the Forums of llEP 'on the Issue of Student Loan in Higher Education

Abstract

Student loan schemes differ widely in their
design, form of adn;inistration and
management extent of public subsidy and
methods of collection. Although loans are
advocated on the grounds that they will help
overcome the severe financial constraints
facing governments, by shifting part of the
financial burden of higher education from
public to private funds, Albrecht and Ziderman
(1992) conclude that the high degree of
subsidy and default in most loan programs in
developing countries mean that "the
government continues to bear the cost burden
of higher education and/or student
maintenance and in some instances, loans have
been more expensive thari outright grants.