CS Ogamba: Revised University Funding Model Draft Ready.
The government has completed a revised model for funding students in tertiary institutions after the High Court scrapped the previous version in December 2024. This new model aims to address past issues and ensure fairer financial aid distribution.
A special committee, appointed by President William Ruto in September 2023, has submitted its interim report. The updated funding framework is expected to be in place by September 2025 when new university and college students enroll. Education Cabinet Secretary Julius Ogamba confirmed that the final report would be ready by the end of the week or early February.
Key Adjustments to the Funding Model
One of the major changes in the revised model is the expansion of the Means Testing Instrument (MTI). This tool assesses students’ financial needs by categorizing them into income bands. However, past inaccuracies led to students being placed in incorrect categories. The new model aims to refine these classifications to ensure a more accurate and fair assessment.
“The model has functioned for two years, but challenges emerged. A committee was formed to address these concerns and refine the funding system. They have now submitted an interim report and are finalizing their work,” said CS Ogamba during a visit to schools in Uthiru, Kiambu County.
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He further explained that expanding MTI’s variables would reduce errors and align funding support more closely with actual household incomes.
“For instance, some students were misclassified due to limited assessment criteria. We are now introducing broader variables to ensure financial aid allocation is precise and just,” he added.
Court Ruling and Ongoing Challenges
Despite improvements, the government is still dealing with legal hurdles. The December 2024 court ruling invalidated the previous model, leaving first- and second-year students without financial support. The government has since applied for a stay of the ruling, pending an appeal.
CS Ogamba acknowledged the financial struggles students face and assured them that the government is actively seeking legal solutions. “Without funding, many students, especially those in their final semester, experience serious hardships. We are working tirelessly to resolve this matter,” he said.
The controversy surrounding the earlier model stemmed from concerns about fairness in fund allocation and the burden of student loans after graduation. The High Court ruled it unconstitutional, citing discrimination and inadequate student support.
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Meanwhile, the Court of Appeal has prioritized the government’s case and instructed the Universities Fund and the Higher Education Loans Board (HELB) to serve court documents to all involved parties.
Universities Brace for Financial Strain
Public universities are struggling to navigate the financial uncertainty caused by the funding crisis. Prof. Daniel Mugendi, chair of the Public Universities Vice Chancellors’ Committee, warned that delays in resolving the issue could lead to operational disruptions.
“We are waiting for the court’s direction. If this matter drags on, a crisis is inevitable. However, the Universities Fund has released capitation for students not covered under the contested funding model,” he stated.
He noted that universities have submitted necessary documents for student funding, allowing students to continue attending lectures. However, first- and second-year students remain in limbo as they await a legal resolution.
“For now, universities are not demanding fees from these students until the issue is settled. Those on self-sponsored programs know their obligations, but government-sponsored students are uncertain about what they owe,” he explained.
The government has already allocated funds for students under the Differentiated Unit Cost (DUC) model, covering third- to sixth-year students. These funds are sustaining university operations while awaiting court direction on the first- and second-year students’ funding.
With the revised model nearly finalized, stakeholders are hopeful that a stable and equitable funding structure will soon be in place, ensuring all students receive the necessary financial support to continue their education.
CS Ogamba: Revised University Funding Model Draft Ready.
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