The South Korean government is currently focusing on improving the national scholarship program to provide support for a wider range of university students.
They have noticed that only around half of the students benefit from this program and want to extend it to middle-class students as well. Additionally, the government is considering providing low-interest student loans and support for living expenses as further measures to help students.
A senior government official has pointed out that only half of the 2.03 million university students in the country are currently benefiting from national scholarships. As a result, the government is working on a new system that aims to provide more substantial tuition relief to a larger number of students. The strategy involves an annual injection of an additional 1.5 to 3 trillion won ($2.2 billion) to move towards a tuition-free policy effectively.
Also, the Ministries of Economy and Finance and Education are working together to develop a plan that supports low-income students by offering scholarships based on income levels. This plan is intended to relieve the financial burden of tuition fees for the bottom 80% of income earners. To further support low-income students, the budget for national scholarships, student loans, and work-study scholarships has been increased by $326 million this year.
Moreover, the government is planning to expand the targets of programs aimed at reducing student loan interest rates and interest exemptions. These initiatives were previously available only to low-income groups but will now include the working and middle classes as well. Addressing the issue of high housing costs, which occupy a significant portion of students’ living expenses while at university, is also a priority.
An official from the Presidential Office has mentioned that the government is reviewing the level of support for housing expenses, especially for students whose universities lack adequate dormitory facilities. This review is aimed at addressing challenges students face in their studies due to high housing costs.
These measures were implemented following a high-level meeting on Jan. 14, between the Presidential Office, the government, and the People Power Party. During the meeting, measures to reduce college tuition fees were discussed and this led to the prompt preparation of subsequent follow-up actions.
