

Them that’s got shall have: student-debt relief
Aug 26, 2022
Idris Kaloun, an economist and Washington bureau chief, offers deep insights into the U.S. student debt relief debate, examining its political motivations and controversial implications. He critiques the policy's failure to address rising education costs. Meanwhile, Abubakar Adam Ibrahim, a correspondent in Nigeria, sheds light on the al-Majiri system, revealing the harsh realities faced by young boys forced into street begging for survival. Their discussions highlight pressing educational challenges, cultural impacts, and the complex dynamics of student debt globally.
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Student Loan Forgiveness Announcement
- President Biden announced student loan forgiveness of $10,000, with Pell Grant recipients receiving $20,000.
- This decision followed extensive deliberation and is expected to cost between $400-600 billion.
Executive Authority and Future Borrowers
- This action raises questions about presidential authority and its potential impact on future borrowers.
- Changes include capping payments at 5% of discretionary income and covering monthly interest payments.
Impact and Cost of Loan Forgiveness
- The loan forgiveness will significantly impact existing borrowers, potentially eliminating debt for nearly half.
- However, it's costly, estimated between $400-600 billion, and raises inflation concerns.