Private Universities on Brink of Closure and Job Cuts Amidst New Funding Model
There is a threat of job losses at private universities. Under the new funding formula, some institutions may close.
This is a result of the September implementation of the new funding model that supports students through scholarships and financing.
However, private universities will not be eligible for the bursaries, as they will be reserved exclusively for students enrolling in their public institutions.
This indicates that students attending private universities will only be eligible for loansĀ to cover tuition costs.
Prof. Stephen Mbugua, chairman of the Kenya Association of Private Universities (KAPU), stated on Tuesday that some private institutions may be compelled to close as a result of the government’s decision to exclude private universities from scholarship funding.
Professor Mbugua, the Vice Chancellor of the Catholic University of Eastern Africa (CUEA), pointed out that the current student enrollment numbers are significantly low, posing a challenge to the sustainability and advancement of universities in the coming five years.
He emphasized that this situation hampers the growth prospects of universities. He spoke at Catholic University of Eastern Africa, which coincided with the eighth Catholic Schools Principals’ Association Conference.
Prof. Mbugua also urged the government to reconsider reviewing the funding model in order to prevent the imminent collapse of private institutions.
In an effort to address this issue, Professor Mbugua stated that appeals have been made to the government.
He revealed that he, on behalf of private universities, has personally sent letters to various authorities, including the Cabinet Secretary, the Permanent Secretary of Higher Education, and even the chair of the education committee in parliament.
The aim of these appeals is to urge a reconsideration of the decision that has been made.
Since 2016, the government has sent over 100,000 students to private universities on its dime.
In 2021, the Kenya Association of Private Universities submitted a document to the National Assembly’s education committee that revealed that 15% of all government-sponsored students attended private universities.
The institutions admitted 10,984 students in 2016, 17,363 students in 2017, 12,656 students in 2018, 17,511 students in 2019, and 27,754 students in 2020.
The universities welcomed 28,063 students in 2021.
Approximately 140,107 students took the 2022 KCSE exams and were assigned to public and private universities to pursue undergraduate degrees this year.
130,485 students attending public universities will receive both scholarships and loans, while 9,662 students attending private universities will only receive student loans.
Prof. Mbugua asserted that if the new paradigm persists in the same manner, private universities will face financial constraints.
Furthermore, he contends that there is a concerted effort to promote admission to public universities by promising students scholarships.
This model arose from the proliferation of private universities. Mbugua stated that a number of universities had fewer than ten students.
He argued that the model stands in contrast to the Kenya Kwanza economic government model, which promotes private and public sector employment growth.
“We are aware that the government has pledged to increase employment, but by removing students from the private sector, they are doing the opposite,” he said.
In 2016, in response to a directive from President Uhuru Kenyatta, the Ministry of Education began admitting government-sponsored students to private universities.
The introduction of government-sponsored students to private universities was proposed for the first time in 2014 in a sessional paper aiming to reform the financially problematic university sector.
The Sessional Paper No. 14 of 2012 identified the expansion of government student sponsorship to private universities as one of the most effective strategies for addressing the challenges confronting Kenyan higher education.
However, the program did not become a reality until 2016, when President Uhuru Kenyatta ordered the deployment of government-sponsored students in all universities.
President Uhuru Kenyatta stated that public, private, and religious organizations’ investments in higher education should be evaluated as a whole to determine how to leverage investments to train more Kenyans.
Private Universities on Brink of Closure and Job Cuts Amidst New Funding Model