The State has been urged to innovate its approach to funding higher education. Mount Kenya University (MKU) Pro-Chancellor Dr. Vincent Gaitho suggests exploring various funding sources to enhance the Higher Education Loans Board (HELB) resources.
Dr. Gaitho highlighted potential funding from the Unclaimed Financial Assets Authority, which holds approximately Sh45 billion. He proposed these funds could be used to support HELB, with the expectation of repayment.
Addressing a panel discussion on the government’s new university funding model at Machakos University, Dr. Gaitho criticized the current model for being discriminatory and inefficient. He also advocated for increased corporate donations as part of Corporate Social Responsibility (CSR) to bolster HELB’s resources.
Dr. Gaitho pointed out that recently recovered assets, valued at over Sh5 billion, could be allocated to HELB. These assets, including land and cash, were handed over to President William Ruto by the Ethics and Anti-Corruption Commission (EACC).
He noted a decrease in government funding per student in private universities from Sh70,000 in 2016 to around Sh40,000, forcing institutions to seek additional funding for students. Private universities now rely heavily on HELB loans for their students.
HELB’s Head of Lending, King’ori Ndegw, acknowledged delays in fund disbursement due to competing demands at the Treasury, causing students to resort to fundraising to meet their needs.
Dagorreti North MP Beatrice Elachi revealed that a bill is being processed to centralize all bursaries and funding sources for higher education. She urged HELB to facilitate funding for students lacking national identity cards and simplify the loan application process.
King’ori confirmed that 55,000 students without IDs can use KCSE index numbers and birth certificates for funding.
Meru University VC Prof. Romano Odhaimbo emphasized the challenging path to higher education, noting his own experiences of receiving support from various sources. He also mentioned that out of 153,000 students with a C+ and above in the 2023 KCPE, 146,000 applied for assistance under the new funding model.
Machakos University Deputy VC Prof. James Mwola reported that about 80% of the expected 3,000 First Years had already enrolled, many of whom have had to appeal to HELB for assistance.
Emmanuel Manyasia, Executive Director at Usawa Agenda, criticized HELB and university officials for perceived transparency issues, particularly regarding admission and examination policies.
The discussion highlights the ongoing debate and adjustments surrounding the new Variable Scholarship and Loan Funding model, replacing the previous Differentiated Unit Cost model.
