How Ruto’s new university funding could take 25% of graduates’ salaries
President William Ruto’s plan to provide 100 per cent government funding for students joining universities and colleges from September 2026 could remove the upfront cost of higher education, but graduates may later repay the money through deductions from their salaries. A proposed Tertiary Education, Placement and Funding Bill, 2026 would allow the new Tertiary Education […]
President William Ruto's proposal to fund university education for students commencing in September 2026 through government loans may result in deductions from graduates' salaries to repay the debt. The Tertiary Education Funding Authority (TEFA) would be responsible for collecting the repayments, with a maximum limit of 25% of an individual's monthly earnings.
This proposed system would replace the existing Higher Education Loans Board (HELB) framework. The repayment would start one year after graduation and continue until the loan is fully paid off or the borrower leaves their employment. Employers would be required to remit the deductions to TEFA within nine days of each month's end.
While this could alleviate the immediate financial burden on families, it introduces a new long-term obligation for graduates. The exact amount deducted from salaries would depend on the graduate's monthly earnings, with a maximum deduction of 25% of their income. The final details of the legislation, including the 25% ceiling and repayment provisions, should be considered as proposals rather than definitive rules, as Parliament may still amend them before they become law.
Written by urgent.news from People Daily Kenya's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.