Aid

Tenants Protest Suspension of Section 8 Aid

Safiya Baidi spent six months living in a 1987 Mitsubishi Galant. She slept in the front seat; her two baby girls slept in the back seat. Food was stored in the trunk.

It was a way to keep orderly the only home she had. Most nights, though, that order was interrupted by her children’s needs.

“They always wanted me to sleep close to their noses, so I put the seat back,” Baidi said. “It was very uncomfortable, but that’s what they wanted.”

On Thursday, the needs of her children led Baidi to join about 150 frustrated tenants who converged on downtown’s Pershing Square to protest the suspension of federal housing assistance to 1,500 families in Los Angeles.

The problem, advocates say, may soon grow worse. The Center on Budget and Policy Priorities estimates that about 10,000 families in Los Angeles County could be cut from the Section 8 program if the 2005 budget proposed by the Bush administration is passed by Congress.

Officials with the Department of Housing and Urban Development, however, view the proposed budget in a starkly different way.

“The president’s proposal would provide enough flexibility for local housing authorities to still cover as many people with vouchers as it currently does,” said Larry Bush, a HUD spokesman. “In the case of Los Angeles, this will require better management than we have seen to date.”

Section 8 is a federal program that subsidizes the rents of low-income tenants, who pay about 30% of their income in rent. The federal government pays the rest.

In Los Angeles, for example, a family of four with an income of $29,750 is considered very low income. A family of four with an income of $17,850 or less is considered extremely low income.

With her voucher, Baidi would have been able to rent a two-bedroom apartment. She had found a place in Hawthorne. Now that her voucher is suspended, the 22-year-old, who works full time at a hospital, remains in the homeless shelter that took her in after her long stint living in her car.

“My job is minimum wage,” she said, above the chants of protesters. “That won’t get me in anywhere.”

The protests, which included speeches by single mothers, the mentally ill and others in need of housing assistance, was organized by the Los Angeles Coalition to End Hunger and Homelessness. State Sen. Richard Alarcon (D-Sylmar) and Los Angeles Councilman Antonio Villaraigosa joined the group in demanding that Congress, the state and federal government do more to assist those who need housing.

“These are people struggling to find the American dream and our president is trying to take it away,” Alarcon said to the crowd. “I think we need to take away his public housing and kick him out of the White House.”

The program had been supported by previous administrations because they “understood something about Section 8,” he said, calling the program “a path to a better place.”

Earlier this year, officials at the Los Angeles Housing Authority canceled housing vouchers of those who had not yet entered into rental contracts. Officials estimated that about 5,000 subsidized households — families already in rental contracts — might lose their assistance unless help came soon.

Local officials pushed HUD for additional funds, more vouchers or an agreement that certain funds could be used to pay for the vouchers. Federal officials blamed problems on the local agency.

On Monday, HUD and local officials announced the signing of an agreement that averted the loss of assistance to the 5,000 families, but so far no hope has been offered that assistance will be restored to those with suspended vouchers. Those families, about 400 of whom are homeless, according to the Los Angeles Coalition to End Hunger and Homelessness, have been left in limbo: stuck in hotels, in shelters or on the streets.

One of the protesters, Laura Figueras, spent 10 years living on the streets, mentally ill and unable to care for herself.

She credits a Santa Monica shelter with helping her reform her life. Now her illness is controlled with medication and she has started to imagine herself living in her own home. She is on a list to receive a voucher.

“It took me a long time to get that far,” Figueras said. When she learned about the suspensions “my world fell apart…. I was pretty devastated,” she said. “But I’m not giving up.”

The voucher suspensions and concerns about possible cuts in the program have given rise to the Save the Section 8 Coalition, several organizations that are pushing for HUD “to release emergency funds to honor the 1,500 Section 8 vouchers.” The coalition is also demanding that the program “remain fully funded to at least its current level. No massive cuts as the Bush administration has proposed.”

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Mexican navy: Missing humanitarian aid boats found near Cuba

The two missing sailboats were delayed on their trip to Cuba by adverse weather conditions. Photo courtesy the Mexican navy

March 28 (UPI) — Two missing aid boats en route to Cuba that were reported missing have been found, the Mexican navy announced Saturday.

The navy said aerial search crews spotted the two sailboats — the Friendship and Tiger Moth, operating as part of Our America Convoy — about 80 nautical miles northwest of Cuba on Friday.

The two boats with a total of nine crew members departed Isla Mujeres, Quintana Roo, on March 20 to transport 2 tons of humanitarian aid to Cuba. They failed to confirm their arrival in Cuba on the scheduled dates — between Friday night and Saturday morning — sparking a search operation.

Once found, the captain of one of the vessels told the Mexican navy that the delay was due to unfavorable weather conditions. All crew members were found to be in good health.

A Mexican navy ship was expected to escort the two sailboats the rest of the way to Cuba to ensure a safe arrival.

A representative for Our American Convoy confirmed to CNN that the crew members were safe.

“The convoy continues its course to complete its mission: to deliver urgent humanitarian aid to the Cuban people,” the representative said.

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Aid flotilla to Cuba missing in Straits of Yucatan, 9 crew missing

An air-sea search and rescue operation by Mexican naval vessels and military aircraft was underway Friday after two sailboats in a three-strong charity flotilla bringing aid to Cuba failed to arrive. A third vessel, an 80-foot-long shrimper, completed the journey without incident. Photo by Ernesto Mastrascusa/EPA

March 27 (UPI) — The Mexican Navy was searching the Caribbean and Gulf of Mexico on Friday for two missing aid boats bringing at least two tons of humanitarian aid to Cuba.

The air-sea search and rescue operation involving naval vessels and military aircraft was launched after the catamaran sailboats, Friendship and Tiger Moth, with a multinational crew of at least nine, failed to arrive in Havana on Wednesday, the navy said.

The flotilla, part of Nuestra America Convoy to Cuba, set off on the 250-mile crossing from Isla Mujeres just off Cancun on Mexico’s Yucatan Peninsula on March 20, but there had been communication from the convoy since.

A third vessel in the flotilla, an 80-foot fishing boat, arrived safely in Havana on Tuesday where the crew was personally received by Cuban President Miguel Diaz-Canel.

The navy said it was in contact with the maritime rescue coordination centers of the home nations of the crew, who are from Cuba, Mexico, the United States, France and Poland, while the Mexican government said consular authorities of the respective nations had been notified.

Before departing from Mexico, the coordinator of the mission, Adnaan Stumo, said the boats were bringing food and medical supplies.

The rescue mission comes after hundreds of activists from 33 countries converged on Havana in support of the Nuestra America effort with organizers saying they had delivered more than 20 tons of essential supplies.

The initiative brought together more than 650 participants from 33 countries, including doctors, activists, political figures, artists and digital content creators. Most participants arrived by air.

Organizers claim Cuba is on the verge of an “imminent humanitarian collapse” for which they blame the recent tightening of the United States’ decades-long economic embargo, including sanctions and restrictions on oil imports.

Mexico has already sent two vessels carrying more than 1,200 tons of food, China 60,000 tons of rice and other neighboring countries in the Caribbean are preparing to ship powdered milk, infant formula, nonperishable food, medical supplies and energy equipment, such as solar panels and batteries.

However, ordinary Cubans and dissidents criticized those efforts, particularly the Nuestra America initiative, saying they provided moral and material backing to the communist regime in Havana, which they accused of not passing on the aid to those in need.

“They believe in dictators, that’s why it works like this. None of those donations go to the people, everything goes to the stores — in MLC [a digital currency created by the Cuban government] or dollars,” said activist Yanaisy Curvelo, mother of a political prisoner.

Havana resident Manuel Soria called the Nuestra America Convoy a sham.

“What they came here for is to support the dictatorship of the Castro regime. If it comes under these conditions, then they should not come anymore because we have not seen any help. We have not benefited, what we are is hungrier every day,” he said.

Founder of the Women’s Tennis Association and tennis great Billie Jean King (C) smiles with representatives after speaking during an annual Women’s History Month event in celebration of the 50th anniversary of Title IX in Statuary Hall at the U.S .Capitol in Washington on March 9, 2022. Women’s History Month is celebrated every March. Photo by Bonnie Cash/UPI | License Photo

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How extensive is Russia’s military aid to Iran? | US-Israel war on Iran News

“A bit” is what United States President Donald Trump thinks about the scale of Russia’s military aid to Iran.

Moscow “might be helping them a bit”, he told Fox News on March 13.

A day later, Iran’s Foreign Minister Abbas Araghchi stated laconically that Moscow’s military cooperation with Tehran was “good”.

His words seemed to confirm earlier media reports that Russia is providing Iran with satellite and intelligence data on the locations of US warships and aircraft.

It may not sound like much, given the superiority of Western military satellites and Russia’s battlefield losses and communication problems after Elon Musk’s SpaceX company switched off smuggled Starlink satellite Internet terminals.

But data on US military assets Iran is receiving most likely comes from Liana, Moscow’s only fully functional system of spy satellites, according to an expert on Russia’s space programme and military.

“The [Liana] system has been created to spy on US carrier strike groups and other navy forces and for identifying them as targets,” Pavel Luzin, a senior fellow at the Jamestown Foundation, a US think tank, told Al Jazeera.

Eyes in the sky

Russia also played a key role in the development of Iran’s space programme and its key satellite, the Khayyam.

Launched in 2022 from Russia’s Baikonur cosmodrome, the 650kg (1,430 pound) satellite orbits the Earth at 500 kilometres (310 miles) and has a resolution of one metre (3.3 feet).

Moscow “can, in theory, receive and process data from Iran’s optical imaging satellite and share data from its own several satellites”, Luzin said.

On Wednesday, Tehran claimed to have struck the Abraham Lincoln carrier with multiple cruise and ballistic missiles, but the Pentagon called the claim “pure fiction”.

On Sunday, Iranian media claimed that a “massive blaze” was caused by a strike on a US destroyer refuelling in the Indian Ocean.

Washington did not comment on that strike.

Russia has, for decades, supplied weaponry to Iran, including advanced air defence systems, trainer and fighter jets, helicopters, armoured vehicles and sniper rifles, worth billions of dollars.

Since Washington and Tel Aviv began their strikes on February 28, Russia has continued aiding Iran with “intelligence, data, experts and components” for weaponry, Lieutenant General Ihor Romanenko, former deputy chief of Ukraine’s general staff of armed forces, told Al Jazeera.

While Moscow and Tehran loudly proclaim their strategic partnership, they do not have a mutual defence clause, and Moscow has not intervened in the conflict directly.

But the arms supplies have been mutual. Since Russia’s 2022 invasion of Ukraine, Tehran has provided Moscow with ammunition and artillery shells, firearms and short-range ballistic missiles, helmets and flak jackets.

Cyprus
Flashes appear in the sky over RAF Akrotiri, as seen from Pissouri, Limassol District, Cyprus, in this screengrab taken from a handout video obtained on March 2, 2026 [KitasWeather/Handout via Reuters]

Drones with ‘comets’

And then there are the Shahed kamikaze drones – slow, noisy, yet cheap to manufacture – which have been launched on Ukrainian cities in swarms of dozens and then hundreds. Ukraine became so adept at bringing these down – now mass-producing cheap interceptor systems specifically to target Shaheds – that it is now providing its own know-how to Gulf states where US military assets have come under fire from Iran in recent weeks.

In the course of its war with Ukraine, Moscow has manufactured and modernised Shaheds, making them faster and deadlier, and equipping them with cameras, navigators and, occasionally, artificial intelligence modules.

And now, some of the upgrades have made their way back to Iran.

A Shahed drone with a pivotal Russian component launched by Iran-backed Hezbollah from southern Lebanon was able to hit a British airbase on Cyprus on March 1, the UK’s Times newspaper reported on March 7.

It reportedly contained Kometa-B (Comet B), a Russian-made satellite navigation module that also acts as an anti-jamming shield, making drones more resistant to interference.

Russia has also perfected the tactic of sending waves of real and decoy drones to exhaust and overwhelm Western-supplied air defence systems in Ukraine.

These days, the scheme helps Iran hit targets in the Gulf, Western officials say.

“I think no one will be surprised to believe that Putin’s hidden hand is behind some of the Iranian tactics and potentially some of their capabilities as well,” British Defence Secretary John Healey said on March 12 after Iranian drones struck a base used by Western forces in Erbil, northern Iraq.

However, if Iran is suffering a shortage of drones – as some analysts believe it is – that would render the use of Russian tactics, as well as Russia-supplied satellite data useless, experts say.

“Russia does supply data, it’s obvious, the data helps Iran, but not much,” Nikita Smagin, a Russian expert who has written extensively on ties between Moscow and Tehran, told Al Jazeera.

After four days of intensive strikes using up to 250 drones a day in early March, Iran has been launching only up to 50 drones a day, according to Nikolay Mitrokhin, a researcher with Germany’s Bremen University.

“Iran ran out of steam really fast,” he told Al Jazeera.

Interactive_Shahed_Lucas_Drone_March26_2026
[Al Jazeera]

‘A goodwill gesture’

Moreover, Moscow is not necessarily particularly interested in an Iranian military victory, as the war is benefitting Russian President Vladimir Putin’s own conflict in Ukraine.

Skyrocketing oil prices make “Putin financially capable of further hostilities,” Lieutenant General Romanenko said.

As Iran strangles shipping through the Strait of Hormuz, the price of Brent crude – the international benchmark – has soared past $100 a barrel in the past three weeks. US President Donald Trump was forced to temporarily suspend sanctions on shipped Russian oil to ease the economic backlash. The result has been tankers laden with Russian oil bound for China making U-turns in the open ocean to divert to India, as countries scramble to grab Russian oil cargoes out at sea. The price of Urals crude has bounced.

Putin “hasn’t achieved his goals in Ukraine and will therefore use anything, including the war [in Iran] and lies to achieve his vision, press with his ultimatums,” Romanenko said.

The Kremlin “doesn’t pursue a breakthrough in this war, doesn’t help Iran break the United States and Israel,” Ruslan Suleymanov, an associate fellow at the New Eurasian Strategies Center, a US-British think tank, told Al Jazeera.

The current intelligence and military aid is “more of a goodwill gesture, an attempt to create an illusion of help, to show Tehran that despite the lack of formal commitments, Russia doesn’t leave its friend in need”, he said.

And Tehran fully understands how insufficient Moscow’s aid is – and therefore relies on its own stratagem of expanding hostilities to the entire region through strikes on neighbouring states and of crippling the global economy with soaring oil prices.

“Iranians understand that the forces are not equal and it’s impossible to defeat the United States and Israel on the battlefield, and no Russian aid is going to help,” he said.

It seems that Trump’s assessment that Moscow “might be helping them a bit” may not be too far wide of the mark.

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Cuba aid surge raises questions over motives, who is being helped

Members of the Nuestra America Convoy wave as they arrive at the port in Havana on Tuesday. The convoy, inspired by the Global Sumud Flotilla that delivered humanitarian aid to Gaza in 2025, aims to send a message of political support to Cuba, which has been subject to a U.S. oil embargo since January. Photo by Ernesto Mastrascusa/EPA

March 26 (UPI) — The flow of humanitarian aid to Cuba has increased in recent days with shipments of food, medicine and fuel from governments, regional allies and an international flotilla of activists amid a crisis marked by widespread blackouts and shortages of basic supplies.

However, alongside the arrival of that assistance, a debate has also grown inside and outside the island over its real impact, distribution and motives of some of those behind it.

Mexico provided the most significant shipments, with more than 1,200 tons of food transported on two Navy vessels in mid-March, followed by new cargo announced days later.

Meanwhile, Caribbean countries are preparing additional packages with powdered milk, infant formula, nonperishable food, medical supplies and energy equipment, such as solar panels and batteries. China sent 60,000 tons of rice.

Fuel shipments confirmed by Russian authorities, in an attempt to ease the energy crisis affecting the island, have not arrived and seem to be in limbo because of the U.S. embargo.

Cuba faces a structural deficit in electricity generation — because of a massive shortage of oil — that has led the system to operate under severe pressure, producing barely half of the electricity needed to cover total demand.

The gap between supply and consumption has forced authorities to implement widespread outages to avoid a total collapse, especially during peak hours, causing prolonged blackouts across the country that affect hospitals, transportation, cold chains and daily life.

Seeking to assist, the international flotilla “Nuestra América” arrived in Havana starting Friday. Organizers said they transported more than 20 tons of essential supplies.

The initiative brought together more than 650 participants from 33 countries, including doctors, activists, political figures, artists and digital content creators. Most participants arrived by air, while a vessel arrived Tuesday in Havana. President Miguel Díaz-Canel personally received those aboard.

Organizers of relief missions say Cuba is on the verge of an “imminent humanitarian collapse” and attribute the situation to United States policy, including sanctions and restrictions linked to oil trade.

But inside the island, some Cubans express doubts about the destination of that aid.

“These people come here to benefit the regime in Cuba,” said Berta Solórzano, a resident of Old Havana, in statements reported by Radio Martí.

Activist Yanaisy Curvelo, mother of a political prisoner, expressed an even more direct view:

“They believe in dictators, that’s why it works like this. …. None of those donations go to the people, everything goes to the stores — in MLC [a digital currency created by the Cuban government] or dollars.”

Near the port of Havana, where the relief ship Granma 2.0 docked, a resident identified as Manuel Soria said, “What they came here for is to support the dictatorship of the Castro regime. If it comes under these conditions, then they should not come anymore because we have not seen any help. We have not benefited, what we are is hungrier every day.”

Opposition figure Manuel Cuesta Morúa questioned the convoy’s approach.

“Instead of talking about the conditions and circumstances and the real situation of the country, they decide and dedicate themselves to reviving their utopia,” he said.

He also used a metaphor to describe the situation: “The most powerful image I have was given by [Cuban American] activist [Manolo De Los Santos] Ramallo is that this is like the Titanic. It is like someone playing music on the deck of the ship while it’s sinking.”

Doubts are not limited to opposition sectors. Cuban researcher Elaine Acosta, affiliated with Florida International University in Miami, described the convoy in statements to El País as a political maneuver more linked to elites than to citizen needs, and she warned about the risk of aid diversion.

Egyptian filmmaker Basel Ramsis Labib, with historical ties to Cuba and experience in flotillas to Gaza, questioned the initiative and described it as “ridiculous.”

Cuba is not Gaza,” he wrote, adding that anyone who wants to help can send medicine and food directly, without incurring the high logistical costs of a flotilla.

He said those resources could have been allocated more efficiently to the population and criticized what he described as a component of “egocentrism” and a search for political visibility.

He also questioned the symbolic nature of the initiative, including the name “Granma 2.0,” and warned that some attitudes are “insulting” in the face of food shortages, fuel scarcity and the energy crisis.

“The Cuban people need gasoline, medicine, food and serious reform,” he said.

The controversy was amplified by the participation of international figures and scenes that some considered disconnected from the crisis context.

Irish hip hop group Kneecap performed a concert in Cuba during a blackout, which generated criticism on social media over the contrast between the event and the country’s energy situation.

Another focus of criticism was American political commentator Hasan Piker, who participated in the convoy and said he sought to raise awareness about the effects of United States policy on Cuba. During his visit, he described the country as “incredible” and highlighted the resilience of its population.

His statements were criticized and compared to a disconnect between that discourse and his behavior. Piker came under scrutiny for staying at a luxury hotel and wearing expensive clothing and accessories, prompting comparisons with living standards on the island.

Former Spanish Vice President Pablo Iglesias also became part of the controversy after defending the humanitarian mission from Havana in a video recorded from a five-star hotel, according to posts and analysis shared on social media.

@okdiario_oficial

“Lujo comunista”. Pablo Iglesias y su comitiva de “camaradas” disfrutan del lujo eléctrico en un hotel de cinco estrellas mientras el pueblo cubano se hunde en la absoluta oscuridad. Las imágenes son demoledoras: una capital fantasmagórica, castigada por la miseria energética del régimen, donde el único edificio que brilla con luz propia es el búnker de lujo que aloja a la casta de la izquierda española. Una vez más, la “justicia social” de Iglesias se traduce en aire acondicionado y lámparas de neón para los jerarcas, mientras los ciudadanos de a pie sufren apagones interminables en un país en ruinas. ♬ sonido original – OKDIARIO – OKDIARIO

In that message, he said the situation is “difficult, but not as it is presented from outside.”

The reaction included direct criticism from Cuba. Journalist Ariel Maceo Téllez questioned the legitimacy of such interventions and said Cubans understand their reality better than foreign observers.

In his message, he denounced the coexistence of widespread shortages and the development of luxury tourism infrastructure, noting that many Cubans cannot access those places.

Humanitarian aid to Cuba has increased in volume and visibility, but its impact is conditioned by internal distribution capacity, state control and the persistent energy crisis.

The Cuban Observatory of Human Rights said in its 2025 report that 89% of the population lives in extreme poverty and that 71% has been forced to skip meals due to food shortages.

The real impact of the aid will depend on its ability to effectively reach the population in a scenario of increasingly widespread needs.



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Palestine weekly wrap: West Bank attacks surge, Israel restricts Gaza aid | Gaza News

NewsFeed

Settler attacks, restrictions on aid, and land seizures marked a week that was supposed to be one of celebration for Palestinians. Al Jazeera’s Nida Ibrahim and Tareq Abu Azzoum explain what’s been going on in the occupied West Bank and Gaza.

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EU leaders slam Hungary’s Orban for blocking Ukraine aid package | Russia-Ukraine war News

Hungarian leader sparks EU outrage with veto on $103bn Ukraine aid, citing pipeline dispute amid tense election campaign.

European Union leaders, meeting for a summit in Brussels, have piled pressure on Hungarian Prime Minister Viktor Orban, accusing him of hijacking and blocking a vital aid package for Ukraine and undermining EU decision-making as Russia’s war on its neighbour is now in its fifth year, with any peace deal remaining elusive.

The EU’s top diplomat warned on Thursday that it was urgent to show support for Ukraine’s war effort.

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“It’s really, really time to show our support to Ukraine,” Kaja Kallas told reporters on arrival at EU summit talks where leaders hope to unlock the 90-billion-euro ($103bn) funding, which Hungary had signed up to in December along with the rest of the 27-member bloc.

EU leaders agreed to the $103bn loan in December, but Orban has clashed with ⁠Ukrainian President Volodymyr Zelenskyy and blocked its implementation last month, citing a dispute over a war-damaged pipeline.

Orban, Russian President Vladimir Putin’s key ally in an unfriendly bloc, has taken a stance that has angered other EU leaders, as Kyiv could run short of money in weeks if it does not receive new funding. His U-turn has called into question the credibility of the European Council, the EU’s highest decision-making body.

Germany's Chancellor Friedrich Merz (L) speaks with (from L) Bulgaria Caretaker Prime Minister Andrey Gurov, Latvia's Prime Minister Evika Silina, Estonia's Prime Minister Kristen Michal, Finland's Prime Minister Petteri Orpo, Cyprus' President Nikos Christodoulides and EU High Representative and Vice-President for Foreign Affairs and Security Policy Kaja Kallas ahead of rountable during the EU Summit at the EU headquarters in Brussels, on March 19, 2026.
European leaders during a summit at the EU headquarters in Brussels, on March 19, 2026 [AFP]

Several leaders arriving at the summit said Orban, who faces a difficult election next month, had to stick to the December deal and stop blocking the loan.

“He’s using Ukraine as a weapon in his election campaign, and it’s not good,” Finnish ⁠Prime Minister Petteri Orpo said, accusing Orban of betraying fellow EU leaders.

Orban, a strident right-wing nationalist admired by United States President Donald Trump, is trailing in opinion polls ahead of elections on April 12.

Part of his election campaign has been to portray Zelenskyy as an existential threat to Hungary.

At the summit, leaders ⁠are expected to point to an agreement by Zelenskyy this week to fix the Druzhba pipeline with EU technical help and funding, and to try to convince Orban to drop his opposition to the loan, diplomats say.

The pipeline carried Russian oil through Ukraine to Hungary and ⁠Slovakia but was damaged by a Russian attack in January, officials say. Ukraine says it will take some time to repair. Hungary says it is already ready to operate.

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Student aid loans used for stock investing prompt new cap

Customers visit a bank branch in Seoul, South Korea. Photo by YONHAP / EPA

March 8 (Asia Today) — South Korea plans to introduce a cap on student living expense loans after some university students began using the low-interest funds for stock and cryptocurrency investments.

The Korea Student Aid Foundation said the new loan cap system is expected to take effect next semester to reduce the risk of excessive borrowing among young people.

The agency currently offers living expense loans to undergraduate and graduate students at a fixed interest rate of 1.7%, significantly lower than typical commercial lending rates of about 3% to 4%.

Students who complete at least 12 credits in the previous semester and maintain an average grade of 70 or higher can apply. Borrowers may receive up to 2 million won ($1,490) per semester and are not required to provide documentation explaining how the funds are used.

Some students have used part of the loans as investment capital.

A 26-year-old student at Hankuk University of Foreign Studies said he invested part of his loan in semiconductor stocks.

“The interest rate is around 1% a year, so the burden is small,” he said. “If the investment return is higher than the interest, I felt there was no reason not to try.”

Another student at a four-year university in Jeju said he had previously invested loan funds in bitcoin during a price surge and made a profit. He said he continues to look for investment opportunities while stock markets remain strong.

Experts say the trend reflects both speculative investment behavior and financial pressures faced by young people.

Kim Dae-jong said the loans were originally intended to help students focus on their studies.

“Living expense loans are a public financial program designed to provide minimum support so students can concentrate on school,” Kim said. “Using them as investment funds is far removed from the program’s purpose.”

Loan delinquencies have also increased. According to the foundation, overdue balances rose from 19.2 billion won ($14.3 million) in 2021 to 38.7 billion won ($28.8 million) last year.

The number of delinquent borrowers nearly doubled during the same period, rising from 4,271 to 8,126.

Officials said most students still use the loans for living expenses and academic needs, but financial education programs are required before borrowers apply.

Students must complete an online financial education course that explains repayment obligations and the risks of excessive borrowing.

The foundation said the upcoming loan cap system aims to prevent excessive debt among students, since the loans must eventually be repaid after graduation.

— Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260308010002045

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