📋 Tender Overview
Kanan Karimzade
Chairman of the Board of Trustees of the Education Student Loan Fund,
Deputy Minister of Science and Education
It has been 4 years since the start of the Education Student Loan Fund. The main purpose of the activity of the Fund, which was established by the relevant Decree of the President of the Republic of Azerbaijan, Mr. Ilham Aliyev, is to ensure access to education for people from low-income families, to facilitate the access of our youth to higher, secondary and professional education, to provide social support from the state to families - students who have limited financial means to pay for education, to create equal opportunities for everyone to get an education and to expand the scope of education. Over the past four years, the Foundation has encouraged the formation of a new approach to education financing.
In 4 years, more than 70,000 education student loans were formalized
The analysis of the application and formalization indicators of the Fund shows that both the number of applicants and the volume of formalized educational student loan contracts have increased with positive dynamics every year. This is an indication of increased interest and public confidence in education student loans. This increase proves that confidence in the loan mechanism provided by the Fund is strengthened, and that the student loan has become an alternative financing tool.
Results on the social direction
The structural analysis of formalized education student loans during the period of the Funds activity shows both the social orientation and mass coverage of the loan mechanism. Out of a total of more than 70,000 formalized student loan agreements, about 46,000 (65%) are standard, and 24,000 (35%) are social loans. This distribution shows that, on the one hand, socially vulnerable groups have access to higher, secondary and professional education, and on the other hand, the mechanism has become an accessible financial tool for a wide student population.
The role of the Foundation in involving girls in education
63% of the signed contracts belong to female students. These statistics highlight not only the gender distribution, but also the important role that education student loans play in the economic and social activation of women. The high proportion of women in the total figures indicates that the education student loan has become an important social tool in terms of promoting the gender theme and supporting womens access to education in particular financially.
Members of the same family who availed of an education student loan
Several children of 1,711 families benefited from education loans at the same time. A total of 3,469 students study in these families, which shows that education student loans have played an important role in reducing the burden of education costs for families, especially in providing education for several students from the same family.
Regional coverage and equal access to education
During its operation, the fund has become an inclusive financial mechanism that covers not only large cities, but all economic regions of the republic.
Through education student loans, our young people living in the most remote villages and towns have the opportunity to get higher, secondary and professional education, and their access to education is ensured regardless of the financial capabilities of their families. This mechanism has become a real support tool, especially for students living in regions and having difficulty continuing their education after being admitted to higher education institutions due to tuition fees.
Digital accessibility and efficiency in governance
The entire application and management process of TTKF is fully electronic. On the one hand, this has increased transparency, and on the other hand, it has made the application process accessible even to a student living in the remotest village of the country. Each students personal account, application statuses and payment schedules are clearly displayed on the electronic platform.
Discounts applied to academic success
In accordance with the relevant requirements, social discount mechanisms have been applied by the Fund for the students who have graduated. Taking into account the academic performance of students, part of the loans were exempted from interest, and at the same time, part of the funds received by excellent students were donated. Until now, approximately 761,000 manats of funds have been donated to graduates who have received TTK for their academic success.
Within the framework of the interest-free mechanism, over 12,000 loan agreements totaling more than 12 million manats were calculated without applying interest. 64% of these loans were social loans, and 36% were standard loans, which indicates that social loans have wider concessions at the graduate stage.
In addition, the mechanism of partial loan forgiveness for graduates was also introduced. More than 383,000 manats were donated by applying a 25% discount to about 1,700 contracts under the Standard TTC, and more than 377,000 manats were donated by applying a 50% discount to more than 680 contracts under the Social TTC. In general, the financial burden in the amount of 761,000 manats is on the students due to discount mechanismsn taken.
Refunds
The repayment mechanism for the Education Student Loan Fund is phased and is directly related to the number of students who graduate at the end of each academic year. To date, the repayment period of more than 7,000 students has started, which is the result of the flow of graduates that has been formed since the beginning of the Fund.
At the end of each new academic year, among the students who graduate, there are students who enter the repayment phase, which has led to an increase in the volume of repayments year after year.
The dynamics of repaid amounts over the years clearly reflect this growth. As the integration of graduates i
