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UASU welcomes end of funding for students in private varsities

House committee report shows government will stop the funding policy this year.

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by LAURA SHATUMA

News16 March 2023 - 20:00
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In Summary


  • UASU organising secretary Onesmus Mutio welcomed the move saying it was long overdue.
  • According to data from the Universities Fund, 271,446 public universities students were funded with Sh41.9 billion in 2020-21.
Students at the University of Nairobi.

Public university lecturers are supporting a move to end funding of state-sponsored students in private varsities.

On Thursday, a House committee report showed that the government will stop the funding from the next financial year. The 2023-24 Budget Policy Statement contains the information.

Universities Academic Staff Union organising secretary Onesmus Mutio welcomed the move, saying it was long overdue.

He said the funds sent to private institutions should have been used to cushion public universities from financial crisis.

“Some private universities have been receiving a high number of state-sponsored students, more than even UoN and other public universities. What logic is that?” Mutio said.

According to data from the Universities Fund, 271,446 public university students were funded with Sh41.9 billion in 2020-2021.

On the other hand, private universities received Sh2.7 billion— 61,541 students were funded in the same year.

“When lecturers did not have students to teach in public universities, what were they supposed to do? Follow them to private universities?” he asked.

The unionist further faulted the move, saying it risked the jobs of lecturers, who had few or no students to teach.

This would result in the dons being declared redundant by a number of universities, as seen at Egerton University recently.

“Even the parents ended up paying more than what they would pay in public universities. UASU members were left with no students, they were about to  be sacked, facing the danger of being declared jobless,” he added. 

The move, if approved by Parliament, will spell the end of  private universities that have been relying on state capitation to stay afloat amid financial turmoil in institutions of higher learning.

"The State Department for Higher Education and Research, through the KUCCPS (Kenya Universities and Colleges Central Placement Service), should not place new government-sponsored students in private universities," reads the report tabled on Wednesday in the National Assembly by the Budget and Appropriations Committee chairman Ndindi Nyoro.

The development comes as the government is struggling to fund public universities choking on debts amounting to more than Sh56 billion.

I tis feared by some educationists that the end of the placement of government-sponsored students in private universities could see thousands miss direct entry to universities because of limited slots determined by bed capacity.

The policy programme was introduced in 2016 as part of the government's strategy to ensure that students who score the university minimum entry grade of C plus are absorbed and funded by the state.

Details show that so far, private universities have received about Sh9 billion since 2016 when the programme started.

In the 2017-18 financial year, a total of Sh1.56 billion was disbursed for the program, while in the 2020-21 financial year, Sh2.7 billion was disbursed.

MPs have previously questioned why the state is funding private universities yet the institutions are not open to audit by the nation's Auditor General.

In a previous meeting, Education committee chairman Julius Melly questioned why the state was still placing students in private universities.

"We used to admit students in private universities because of space but now that the issue is over, are we still processing students to private universities and if yes, what's the basis?"Melly asked.

in one case, the government was asked to pay Sh250 million to Uzima University as pending bills.

Melly said the concerns over the funding of government students in private universities was a blanket issue.

"I have seen a letter from the immediate former CS National Treasury over this Sh250 million. Why are we only talking about this university?" Melly asked.

In a report, the Public Investments Committee on Education and Governance also proposed a review of this funding policy.

“Review the policy since the capacity gap between slots available in public universities vis a vis qualified students is now non-existent,” Wanami Wamboka said.

Wamboka ,who is the committee chairman, said the objectives of private varsities differ from that of other national institutions.

The Bumula MP said most most private universities are profit-making entities.

“The objectives of private universities may be at variance with national development goals as they are first and foremost profit-centric,” he said.

Wamboka now wants an amendment to the Universities Act and the Helb Act.

This, he said will give public universities first priority to fill up their slots to 100 per cent.

“This will be before a student is financed through capitation, in a private entity. Students who willingly choose private education must surely be capable of funding the same,” he added.

Recent data from the Universities Fund shows the State currently pays for 20.79 per cent of the unit costs for government-sponsored students in private universities and 48.11 per cent of those in public universities.

The United States International University stopped admitting government-sponsored students due to underfunding.

Strathmore University is the other high-profile private university that also stopped admitting state-sponsored students.

Mount Kenya University, Catholic University of Eastern Africa (CUEA) and Daystar University are among the private universities that admit government-sponsored students.

(Edited by V.Graham)

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