A proposal in the Tertiary Education and Funding Bill, 2026 would require graduates to start repaying student loans within a year of completing their studies, prompting criticism from education stakeholders who say the timeline is too strict.

Representatives argued that many graduates take longer than a year to secure formal or informal employment, and therefore repayment should commence only after employment is confirmed.

Joseph Ogendo, Deputy Vice‑Chancellor for Academics and Student Affairs at Kibabii University, urged the National Assembly Education Committee to amend Clause 49(1) so repayment begins "within one year of being employed, including where there is proof of gainful employment".

Stakeholders also objected to Clause 49(4), which permits the Authority to deduct up to 25 percent of a loanee’s earnings, proposing instead a maximum deduction of 10 percent.

Kibabii University’s delegation described the 25 percent deduction as "excessively punitive" and called for the lower 10 percent cap.

At Alupe University, participants called for student loans to be interest‑free, noting that the current 4 percent annual interest plus a Sh1,000 ledger fee burdens low‑income borrowers who use the loans for tuition, accommodation and living costs.

Committee chair Julius Melly said the views gathered across the 47 counties, including those from Kibabii and Alupe, will be reviewed before recommendations are made to the House.

The public participation exercise will continue in Vihiga, Siaya and Kitui counties, allowing further stakeholder input before the Committee finalises its report.