Highlights

Student Loan Scheme portfolio

As at 30 June 2012:

• The nominal value of loan balances was $12,969 million. (Refer to chapter 4.0.)
• The carrying value of the loan scheme - calculated using International Financing Reporting Standards - was $8,291 million. (Refer to chapter 4.0.)
• The carrying value ratio increased from 61.8 percent of the nominal value to 63.9 percent of the nominal value ratio. (Refer to chapter 4.0.)
• The fair value of the loan scheme was approximately $8,527 million. (Refer to chapter 4.0.)
• The amount of write down shifted from 44.7 cents in the dollar lent in 2011 to 39.1 cents in the dollar let in 2012. (Refer to chapter 4.2.)
• The cost of lending is forecast to reduce to 37 cents for each dollar lent by 2015/16. (refer to chapter 4)
• 701,232 people had a student loan with Inland Revenue for collection. (Refer to chapter 3.2.)

Since the loan scheme began:

• Students have borrowed a total of $17,155 million. (Refer to chapter 3.1.)
• $7,071 million has been collected in loan repayments. (Refer to chapter 3.3.)
• More than 341,000 loans have been fully repaid. (Refer to chapter 3.3.)

During 2011/12:

• $876.5 million in loan repayments was received by Inland Revenue and the Ministry of Social Development, $75 million more than last year. (Refer to chapter 5.3)

Outcomes

• Research shows that people with tertiary qualifications have lower unemployment, higher incomes and increased wellbeing. (Refer to chapter 2.2.)
• The number of domestic students in tertiary education in 2011 was 383,000 compared with 245,000, the number enrolled in 1994. (Refer to chapter 1.1.)
• The participation rate for Māori of all ages was 15.2 percent in 2011, down from 16.6 percent in 2010. The participation rate of Pasifika students in 2011 was 11.6 percent, down from 12.2 percent in 2010. (Refer to chapter 1.1.)
• The total number of students completing formal qualifications reached 121,000 in 2011, an increase of 3.5 percent from 2010. (Refer to chapter 1.1.)

About borrowing in 2011

• 207,330 students (74 percent of eligible students) borrowed from the loan scheme. (Refer to chapter 3.1)
• Of these 57,024 were new borrowers (based on provisional Ministry of Social Development data), representing 30 percent of all borrowers. (Refer to chapter 3.1.)
• The average amount borrowed was $7,633 and the median amount borrowed was $6,709. (Refer to chapter 3.1.)

Borrowers

Between 1997 and 2011:

• 57 percent were female. (Refer to chapter 3.2.)
• 49 percent were European, 22 percent were Māori, 12 percent were Asian and 9 percent were Pasifika. (Refer to chapter 3.2.)
• 47 percent had studied at non-degree level, 35 percent at bachelors level and 9 percent at postgraduate level. (Refer to chapter 3.2.)

As at 30 June 2012:

• The average loan held by Inland Revenue was $18,507 and the median loan balance was $12,849. (Refer to chapter 3.2.)
• 69 percent of repayments were collected through the PAYE tax system in the 2011/12 tax year. (Refer to chapter 3.3.)

Repayment times

• The median repayment time for those who finished study in 2003 was 7.4 years. (Refer to chapter 3.4.)
• The median repayment time for those who finished study in 2006 is expected to be 7.2 years. (Refer to chapter 3.4.)
• The median repayment time for those who finished study in 2008 is expected to by 6.7 years. (Refer to chapter 3.4.)
• The median repayment time for those who left study in 2008 and remained in New Zealand was 5.5 years. (Refer to chapter 3.4.)