Nearly half of Jamaica's SLB borrowers delinquent on student loans
Key Points(5)
- Nearly half of borrowers with the Students’ Loan Bureau (SLB) are behind on their repayments, with the agency’s executive director saying some beneficiaries refuse to pay while others claim they were unaware that repayment was required.
- SLB Executive Director Nickeisha Walsh told Parliament’s Public Administration and Appropriations Committee (PAAC) on Wednesday that the bureau’s delinquency rate stood at 47.5 per cent as of March 2026, describing it as one of the agency’s biggest financial challenges.
- Walsh said the bureau has identified several reasons for defaults, including unemployment, economic hardship, administrative challenges and personal circumstances.
- However, she said some borrowers have admitted they do not intend to repay their loans.
- “Some students said that they didn’t know they must pay back the loan,” Walsh told the committee.
Nearly half of borrowers with the Students’ Loan Bureau (SLB) are behind on their repayments, with the agency’s executive director saying some beneficiaries refuse to pay while others claim they were unaware that repayment was required.
SLB Executive Director Nickeisha Walsh told Parliament’s Public Administration and Appropriations Committee (PAAC) on Wednesday that the bureau’s delinquency rate stood at 47.5 per cent as of March 2026, describing it as one of the agency’s biggest financial challenges.
Walsh said the bureau has identified several reasons for defaults, including unemployment, economic hardship, administrative challenges and personal circumstances. However, she said some borrowers have admitted they do not intend to repay their loans.
“Some students said that they didn’t know they must pay back the loan,” Walsh told the committee. “Some believe that the repayment can be postponed indefinitely and some avoid engagement due to accumulative arrears or fear of collection agencies.”
She said that while some borrowers genuinely cannot afford payments, others simply choose not to meet their obligations.
“Some students don’t want to pay. But for those who cannot pay, we say come into the office for us to make some arrangements,” Walsh said.
The comments prompted lawmakers to urge the bureau to take a more flexible approach and better distinguish between borrowers who are unwilling to pay and those facing genuine financial challenges.
St Catherine South Eastern MP Dr Alfred Dawes said some graduates struggle because of unemployment, further studies or other hardships, and suggested the bureau adopt a “softer touch” by considering individual circumstances.
Manchester North Western MP Mikael Phillips also called for a more empathetic approach, arguing that some graduates may feel intimidated by the institution.
St Mary Central MP Omar Newell said the SLB should conduct a deeper analysis of why borrowers fall behind so that targeted solutions can be developed.
“If you’re doing social lending, then the social circumstances of your borrowers matter in terms of your collection drive,” Newell said.
Walsh said the bureau already offers repayment arrangements, deferred payments and extensions where appropriate, and agreed that further assessment of borrower circumstances could be considered.
She noted that the SLB’s ability to continue providing loans depends heavily on repayments. Over the past five years, the bureau collected approximately $8 billion in repayments, earned $3 billion in investment income and received $3.2 billion in government support, while lending about $20 billion to students.
