The government is preparing to commence salary deductions for more than 4,000 public sector employees who have outstanding student loan debts, according to the Controller and Accountant-General, Kwesi Agyei.

The move forms part of a collaboration between the Controller and Accountant-General’s Department (CAGD) and the Student Loan Trust Fund (SLTF) aimed at improving loan recovery and safeguarding the future of the student financing scheme.

Speaking at the launch of activities to commemorate the SLTF’s 20th anniversary on Thursday, June 18, Mr. Agyei revealed that thousands of loan beneficiaries currently employed in the public sector have already been identified on the government payroll.

He said discussions are underway to determine how deductions will be implemented through the payroll system.

“We have already identified over 4,000 on the government payroll through the collaboration with the Trust Fund. In the coming days, we will engage with the Trust Fund on the modalities of implementing these deductions. We envisage that this deduction will become one of the important statutory sanctions on their salaries,” he stated.

According to him, enforcing repayments through payroll deductions will not only improve compliance among borrowers but also strengthen the financial position of the Student Loan Trust Fund.

The initiative is expected to boost loan recoveries, ensuring that funds remain available to support future generations of tertiary students seeking financial assistance.

The announcement comes as the Student Loan Trust Fund reports significant gains in expanding access to educational financing.

Chief Executive Officer of the SLTF, Dr Saajida Shiraz, disclosed that access to the regular student loan package has increased by 50 percent, largely due to the timely release of funds from the Ghana Education Trust Fund (GETFund).

She noted that the fund has so far disbursed more than GH¢127 million to over 46,000 students and has been able to meet all loan requests received during the period under review.

Dr Shiraz said the improved funding has enabled the Trust Fund to reach more students and ease financial barriers to higher education.

Also addressing the event, GETFund Board Chairman Emmanuel Bedzrah reiterated the Fund’s commitment to supporting tertiary education financing.

He assured stakeholders that GETFund would continue to release funds promptly and collaborate closely with the Student Loan Trust Fund to ensure students receive the support needed to pursue their academic goals.

Established two decades ago, the Student Loan Trust Fund remains one of Ghana’s principal sources of financial assistance for tertiary students, with loan repayment recovery continuing to play a crucial role in sustaining the scheme.