The audit report of Ministry of Higher Education has revealed over 7.3 million US dollars in student loans still remain unpaid.
Compliance report publicised by the Auditor General's Office indicate that a total of 1,166 students have received higher education loans since 1990, while 81% of these loans are still unpaid. While a total of USD 9.7 million was issued in loans to fund for 1,166 students, USD 7.3 million remain unpaid.
The report claimed the ministry has not put appropriate measures to collect the unpaid amounts. It further stated discrepancies in establishing outstanding loan amounts to state, statistics and control systems due to the poor accounting practices in the ministry.
Under an agreement the ministry signed with Bank of Maldives (BML), over USD 64 million has been issued in higher education loans. Meanwhile, the report suggest USD 2.59 million are not paid regularly.
Furthermore, over USD 194,552 of the USD 713,359 issued under educational assistance programme also remain unpaid. The ministry has also issued higher education loans worth USD 460,440 to 85 students through Bank of Ceylon. Out of those, USD 311,284 from 64 students remain unpaid.
The report indicated a total of over USD 453,955 remain in the reimbursement account for students pursing higher education under World Bank Aid.