Regarding the astronomical increases in the repayments of Credit and Dormitories Institution (KYK) student loans, which have been on the agenda for days, the authorities pointed out that "the main reason for the increase was not the interest rates, but the Producer Price Index (PPI) figures", and the bad situation was burdened by the new graduates.
Citizens continue to pay the consequences of the government's mistakes in economic management. On the second day of Eid al-Adha, the repayments of student loans received from the state were recalculated. The increase due to Producer Inflation (PPI) in the calculations revealed astronomical figures. New graduates, on the other hand, reacted to these increases.
The Credit and Dormitories Institution (KYK) official, who we talked to about the increases, stated that the increases were made depending on the Producer Price Index (PPI), not the interest rates. Thus, the bad course in the economy was put on the shoulders of new graduates. While there are currently 5,5 million KYK debtors in Turkey, 400 thousand of these debtors are in encorcement.
TECHNICALLY NON-EXISTENT INFLATION REFLECTED TO NEW GRADUATE
While the increase in education loans due to PPI brought to mind the words of President Erdogan, "There is not technical inflation in our country, but the cost of living", the technically nonexistent inflation was reflected on the debts of new graduates, causing the burden on young people to increase in their first years of life. Due to the PPI figures added on top of the repayment figures, some new graduates have to pay back more than 3 times the amount they received.
NEW GRADUATE'S DEBT 100,000 TL
According to the data of the Turkish Statistical Institute (TURKSTAT), while the PPI was 138,31 percent in April, the debt of the young people who will make new payments increased at this rate. The debt of a newly graduated student increased from 32,000 Turkish Liras (TL) to 100,000 TL. Even the amount to be paid by the new graduate who wants to pay in advance on this amount is 80,000 TL. The situation is not much different for doctoral students. He started his doctorate education in 2018 and received KYK credit. The loan debt of 82,000 TL received by the student in this process was calculated as 223,000 TL.