Does student loan amount affect choice of program of study? evidence from privately sponsored undergraduate helb loan recipients in public universities in western kenya
Date
2017Author
Ogenga, Paul Akumu
Kasandi, Achoka Judith Serah
Maiyo, Julius K.
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This study sought to establish the effect of HELB loan amount on the choice of program of study by
privately sponsored undergraduate students in public universities in Kenya. The study was
conducted with the aid of a representative sample of 517 respondents proportionately drawn from
the 2012/2013 cohort of privately sponsored HELB loan recipients in three public universities in
Kenya. Using multinomial logistic regression, the study established no significant relationship
between HELB loan amount and choice of programme of study by privately sponsored
undergraduate students in public universities. This was attributed to the very low amounts of loan
awarded to students relative to tuition fees charged. The study therefore recommends that HELB
should increase loan amount and review the loan award criteria so as to factor in the cost of tuition
for each program of study while awarding loans to individual privately sponsored students in public
universities.
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