- Under the new system, funding is tied to the family’s income where those who come from poor families pay less school fees compared to those on the contrary.
- The new model is grouped into five; Band one, which represents families with low incomes, Band Two, Band Three, Band Four and Band Five.
Image: COURTESY
The new university funding model, a departure from a flat rate allocation of tuition fees for students, has sparked massive debates.
Under the new system, funding is tied to the family’s income where those who come from poor families pay less school fees compared to those on the contrary.
The new model is grouped into five; Band one, which represents families with low incomes, Band Two, Band Three, Band Four and Band Five.
The band any student belongs to depends on the amount the applicant placed as family's monthly income while applying for a scholarship.
Band One, the most needy group, consists of a family whose monthly income is not beyond Sh5,995.
Under this category, the government scholarship will cover 70 per cent of the fees while the loan will cover 25 per cent, making the total support 95 per cent. Under the category, the family will pay 5 per cent of the fees and the student will receive an upkeep loan from Helb of Sh60,000.
In Band Two, the government has grouped families whose monthly income does not surpass Sh23,670 but is above Sh5,995.
The government scholarship will cover 60 per cent while the loan will cover 30 per cent.
The family will pay 10 per cent of the fees. Under this category, the student will receive an upkeep loan of Sh55,000.
In Band Three, the government has classified families whose monthly family income does not pass Sh70,000 but it is above Sh23,670.
The government scholarship will cover 50 per cent, while the loan will cover 30 per cent.
The family will contribute 20 per cent of the fees supposed to be paid. Students in the category will receive an upkeep loan of Sh50,000.
In Band Four, the government has grouped families whose monthly income does not exceed Sh120,000 but is above Sh70,000.
The government scholarship will cover 40 per cent while the loan will cover 30 per cent. The family will pay 30 per cent of the fees.
In Band 5, the government has grouped families which earn more than Sh120,000 monthly. In this category, families will pay 30 per cent of fees.
They will receive 30 per cent of the fees as a loan while their families will be required to pay 40 per cent of the fees.
Proponents of the new university funding model aver that it will enhance equity and give a new life to Kenya’s public universities said to be on deathbeds owing to massive debts linked to financial constraints.
However, critics warn it could deepen inequalities and restrict access to education for marginalized groups.
To verify the income level of families, the government relies on the Identification Number (ID) number of parents and students examined by the National Registrations of Persons office.
They also research the existing records with the Kenya Revenue Authority (KRA) and cross-check with the Kenya National Bureau of Statistics (KNBS) to gather data and establish the poverty index of the applicant’s family.
Critics also opine that ascertaining a family's income status is an enormous task that the government may not get right.
Fears mount on the possibility of the system being corrupted in a move that could see some students grouped in bands they do not belong by just bribing their way into it.
As of August 24, 2024, at least 12,000 students who had applied for university funding appealed claiming they were placed in the wrong bands.
The appellants sought additional funding from the Higher Education Loans Board.
While the intention to rescue universities and enhance equity is commendable, the government must ensure that poor families are not disadvantaged in the long run.
To avoid these pitfalls, the government must ensure data is analysed accurately and the system is free from corruption.
The recent move by the government to form two committees that will include student leaders to address concerns raised over the new funding model is welcomed.
Such avenues form part of a broader strategy that will make the new funding model achieve its core objective.
The new university funding model has potential benefits, but without careful execution, it risks escalating inequality and limiting access to higher education.
Stakeholders must collaborate to ensure that the policy enhances, rather than locks out opportunities for needy Kenyans.