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Stats, More Stats and Increasing Student Debt

Stats, More Stats and Increasing Student Debt

Concerning statistics released today highlight that average student debt on graduation is increasing while numbers of students receiving allowances has decreased.

“Student debt continues to climb and the Labour Government’s haven’t delivered on their promised increases in allowances, in fact they’ve gone backwards” said Joey Randall, Co-President of the New Zealand Union of Students’ Associations “This comes on the heels of student debt reaching 9 billion dollars last week”.

“The Government needs to tackle the drivers of debt, decreasing rates of allowances and increasing student fees, in order to meaningfully deal with debt.”

According to the Student Loans and Allowance 2005 report released today by Statistics New Zealand total allowance recipients decreased from 65,166 in 2000 to 54,012 in 2005. The average allowance amount in 2005 was less than the rate in 2000. During this period loan borrowers increased by 26,286 with an increase in average borrowing of $300 a year.

NZUSA calls upon the government to immediately deliver on their election promise to increase access to allowances to 50% of all eligible students and to progressively introduce a living allowance for all students.


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