The U.S. government is expected to extend a pause on student loan repayments through Aug. 31, an official familiar with the plans said.
The announcement is due Wednesday, the official said. The administration has grappled with ending the pause on loan payments as the economy’s recovery from pandemic lows continues -- bringing with it inflation that has outpaced wage gains.
Domestic Policy Advisor Susan Rice advocated for the pause, and has been pushing within the administration to provide student loan relief, the official said. The coming announcement was reported earlier by The Hill.
The move builds on an announcement last year to overhaul the Public Service Loan Forgiveness Program, including to expand eligibility for loan forgiveness.
This article was provided by Bloomberg News.