Public universities face closure as funding crisis deepens
Education Principal Secretary Beatrice Inyangala painted a grim picture of the sector’s financial woes. She warned that without additional funding, universities could shut down before the end of the financial year.
Public universities are on the brink of collapse due to severe financial shortfalls that threaten to disrupt learning, halt key projects, and push institutions into closure.
The Ministry of Education is seeking an urgent allocation of Sh6.48 billion to keep universities operational, but the funding gap remains vast.
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Appearing before the National Assembly Education Committee, Education Principal Secretary Beatrice Inyangala painted a grim picture of the sector’s financial woes. She warned that without additional funding, universities could shut down before the end of the financial year.
“For us to keep these programmes running and ensure students complete their studies, we urgently need additional funding. Without this, the situation is dire,” she said.
The crisis stems from a growing deficit in student funding. According to Dr. Inyangala, the funding gap for the 2023 KCSE cohort alone stands at Sh12.3 billion.
Many students who applied for support remain unfunded, leaving a Sh4.9 billion shortfall. Continuing students face a Sh4.8 billion gap, while an additional Sh1 billion is needed to sustain their education.
“This is very serious. If this money is not available, universities might close by the last quarter of this financial year. We are experiencing a lot of problems, strikes are becoming more frequent, and students are dropping out, not because they lack ability, but because they lack financial support,” she added.
Scholarships are also in jeopardy, with a funding deficit of Sh11.2 billion. PS Inyangala revealed that the 2022 cohort of students was only partially funded.
For the current cohort, the government allocated Sh4.2 billion, but the required amount stands at Sh13.9 billion, leaving a Sh9.6 billion gap.
“The current allocation stands at Sh23 billion, which represents only 38.75 per cent of the required amount. If universities were to be funded at a 50 per cent level, an additional Sh6 billion would be needed to adequately support them,” she explained.
Private universities are also struggling, receiving only 4 per cent of their required funding, with a Sh1.6 billion deficit.
Meanwhile, research and technology development projects have been underfunded, with Inyangala requesting Sh1.5 million for a review of the national technology policy and support for the national research and development agenda.
Staff training has also been affected, with only Sh20 million requested for capacity building. “We need to invest in our people. Training our staff is critical to ensure the quality of education remains high despite these financial constraints,” she said.
Adding to the crisis, the Ministry is struggling with a backlog of pending bills, particularly those related to foreign travel, which remain unpaid from last year.
With budget reductions leaving no allocation for these expenses, the financial burden continues to mount.
Inyangala also raised concerns about stalled capital projects. She noted that funds initially set aside to clear pending bills were redirected in January, leaving an estimated Sh8 billion in unpaid debts.
Half of this amount is tied to the first phase of crucial projects that now require restructuring.
Despite these challenges, some funding has been allocated for ongoing projects. The University of Nairobi received Sh7.92 million for a judicial project coordination centre, which is still in progress.
However, additional financial support is needed to ensure the project’s completion.
“This is our time to fix these issues. We can’t continue operating like this. Our institutions are at risk, and so is the future of our students and the country,” Inyangala urged.
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