The Students Loan Trust Fund (SLTF) has announced significant reforms aimed at enhancing access to tertiary education in Ghana, with loan amounts increased by 50 % and a substantial reduction in the interest rate to 6 %.
According to a statement issued on November 7, 2025 and signed by CEO Dr. Saajida Shiraz, the changes are part of the Fund’s efforts to align with the government’s “No Fees Stress’’ initiative under the John Dramani Mahama administration. Under the revised structure, loan disbursements for regular students will now range from GHC 2,250 to GHC 4,500 per academic year, reflecting the 50% uplift.
In addition to the increase in loan size, the SLTF unveiled a reduction in the interest rate charged on student loans. Borrowers will now be subject to a 6 % simple interest rate during both the study period and the moratorium, down from the previous maximum of 12% compound interest.
“Following President Mahama’s directive, loan amounts have been reviewed upward to reflect current economic realities and to provide meaningful support to students,” the statement noted. It added that the Fund has rolled out the “Students Loan Plus” package, designed for full-fee coverage loans paid directly to tertiary institutions and removed prior requirements such as the E-zwich card.
The SLTF emphasised that these reforms are responsive to rising living and educational costs and are intended to prevent students from being deprived of tertiary education due to financial constraints. In its published “Loan Repayment” schedule, the Fund’s own website previously indicated that interest rates would be subject to review.
The far-reaching implications of the changes include greater affordability for tertiary students and stronger alignment with national goals centred on human-capital development. The increase in loan amounts, especially, is expected to ease pressure on students who may otherwise drop out or delay studies due to cost concerns.
Industry analysts have welcomed the reforms but stressed that their success will depend on effective application and robust monitoring. Key factors to watch include: timely disbursement, ensuring loan recipients are properly registered, and maintaining rigorous systems for loan tracking and repayment. Earlier SLTF disclosures highlight the importance of digitalisation and ease of access to the loan system.
With the reforms now officially announced, the SLTF is set to begin implementation ahead of the next academic year. Eligible Ghanaian students admitted into accredited tertiary programmes are encouraged to apply under the new structure.