US President Joe Biden will cancel up to $10,000 in federal student loans for millions of Americans who earn less than $125,000 each year, reports BBC.
Biden will also forgive $20,000 of debt for students on Pell Grants, which applies to those in greatest financial need.
He will provide the details of his plan later.
An estimated 43 million Americans owe an estimated combined total of $1.6tn in federal student debt. Almost a third owe less than $10,000.
"My administration is announcing a plan to give working and middle class families breathing room as they prepare to resume federal student loan payments in January 2023," Biden twitted on Wednesday.
Bd-pratidin English/Golam Rosul
