President William Ruto has revealed plans to merge the three funding bodies in the higher education sector.
Speaking in Mombasa when welcoming the new year, Ruto said the sector is set to undergo a raft of reforms.
This is even as the Presidential working party on education reforms is expected to submit its second preliminary report this month.
"The government will establish the National Skill and Funding Council that amalgamates Helb, TVET, and University Funding Board,"Ruto said.
This he said will bridge the current higher education funding gap of up to 45 percent.
Ruto added that this plan will double the current Helb funding from Sh11billion to Sh22 billion and even eliminate Helb loan interests.
"We know many universities are facing numerous challenges and significant debts as a result of the programme’s length," he added.
However, university stakeholders opposed the proposal to merge Helb and UFB in November 2022.
University of Nairobi Student Association (UNSA) chairperson Melvin Thogo said the plan will not be a solution to the funding crisis in universities.
"While this may look attractive at face value, this is the easiest way to disenfranchise students of this fund," Thogo said.
The UNSA chairperson was making her submissions to the presidential Working Party on education reforms on Friday.
"Amalgamating the funds means the university administration will directly receive the money and then disburse them to students," Thogo said.
Lecturers also opposed the move, saying the merger is likely to interfere with the transparency of the funds disbursed.
UASU secretary at the UoN chapter Maloba Wekesa said merging the mandate of Helb and UF will be a huge mistake.
Maloba said the two bodies should be left to operate independently within their mandate.
" It would be ill-advised if the Higher Educations Loans Board, which is burdened with the logistics of student loans, were to be merged with the University Fund.," Wekesa said.
The union secretary added that university funds should be budgeted and funnelled through the University Fund semi-autonomously from the Ministry.
" It would be ill-advised if the Higher Educations Loans Board, which is burdened with the logistics of student loans, were to be merged with the University Fund.," Wekesa said.
The union secretary added that university funds should be budgeted and funnelled through the University Fund semi-autonomously from the Ministry.
The universities' funding board is mandated to develop transparent and fair criteria for the allocation of funds to public universities and issue conditional grants to private universities.
UF also apportions funds to public universities and issuance of conditional grants to private universities in accordance with criteria established.