The Selinger government says it's following through with a pledge to eliminate interest on Manitoba student loans.

The province says it could save a typical student $1,600 over the lifetime of the loan.

More than 27,000 students could benefit from the measure according to a news release.

Premier Selinger made the promise in last week's speech from the throne.

He says the interest-free loan program will cost $1 million every year.

He would not say when it will be implemented, adding that will be announced in next year's budget.