Banking on Health: Working with Equity Bank in Uganda to Launch an Education Loan Product for Nursing Students

In Uganda, the Abt Associates-led USAID Banking on Health (BoH) project, which is implemented by Banyan Global, has provided technical support to Equity Bank to tailor its education loan product for nursing students at the Mayanja Memorial Nursing Training Institute. The loans will help bridge the financial gap for students interested in starting a nursing career, who do not have the means to pay upfront for their tuition and living expenses.

BoH brokered a partnership between Equity Bank, a growing financial institution, and a nurse training institute in Western Uganda that offers a 3-year certificate course. Equity Bank has recognized the opportunity of investing in the health sector and building relationships with medical students who typically require financing to start their own practices in the future. Mayanja Memorial Nursing Training Institute started operations in 2008 and is seeking to reduce barriers for interested students to access a quality higher education and join the nursing profession.

With technical support from BoH, Equity Bank has tailored its existing student loan product – one that targets the guardians of primary school students - so that it is accessible to nursing students aged between 18 and 24. As part of the partnership, Equity Bank has also reduced the interest rate for students affiliated with the Institute. Depending on its success during the pilot phase, the Bank is interested to scale up this product to different training institutes and medical professions, such as radiology or midwifery. Equity Bank is in the process of launching the product to 65 students who are currently enrolled at the Institute and to the next incoming class in June 2009. BoH will monitor the uptake of these loans and determine whether it is worth replicating to other partners and countries to increase access to medical education.