The Higher Education Loans Board (HELB) has disclosed plans to work with law enforcement to trace former university students who have defaulted on their student loans.

This is part of an aggressive strategy to safeguard its dwindling revolving fund.

Appearing before the National Assembly’s Public Investments Committee on Governance and Education on Friday, HELB Chief Executive Geoffrey Monari confirmed that the agency was finalising a partnership with police officers to help locate beneficiaries, both within and outside Kenya, who have failed to honour their repayment obligations despite being employed.

“This is not just about finance. It's about fostering a sense of responsibility and patriotism among those who have benefited from the funds. Compliance ensures we can support future generations from needy backgrounds,” he stated.

According to Monari, HELB’s primary operating model is under threat, with defaulters undermining the Board’s ability to support current and future students. He explained that the organisation’s sustainability hinges on the success of its loan recovery mechanism.

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"At the heart of HELB's operations is the philosophy of the revolving fund – recovering loans to re-lend to aspiring students. However, the default rates continue to erode the fund's sustainability," he added.

The Board’s move comes after several prior attempts, including public notices and incentive programmes, failed to yield the desired response from thousands of defaulters.

The latest action signals a decisive shift in tone, with the agency now deploying more stringent recovery tools to salvage the fund.

While presenting their concerns, MPs on the committee advised HELB to adopt more effective community engagement efforts, such as public education campaigns, personal testimonies from successful beneficiaries, and enhanced fundraising from alternative sources outside the government allocation.

Despite the push for compliance, many loan holders have maintained that unemployment remains a major hindrance to repayment.

Some have called upon the Board to consider extending the grace period to offer them more time to find stable income.

Still, HELB has continued to extend incentives to encourage repayment.

In a public notice issued on March 24, the Board offered a significant penalty waiver to borrowers willing to settle their outstanding balances in full.

“Settle your HELB Loan in a lump sum and enjoy an 80 per cent waiver on accrued penalties. Simple, rewarding, and just a call, DM, or email away!” read the notice in part.

Borrowers interested in settling their debt were advised to initiate the process by dialling *642# or accessing the HELB online portal.

With default rates rising and loan disbursements under pressure, HELB’s latest approach underscores a growing urgency to protect the integrity of its financial model, and by extension, the future of higher education funding in Kenya.