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Home Higher Education

Public Universities Crisis: Staff and Students Bear the Brunt of Funding Shortfalls

Hezron Rooy by Hezron Rooy
January 19, 2025
in Higher Education
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Public Universities Funding Crisis: Staff Strikes and Student Hardships Escalate

Nairobi, Kenya - July 15, 1997: People walking in and out through the main gate of the University of Nairobi campus.

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Public Universities Funding Crisis: Staff Strikes and Student Hardships Escalate.

Public universities in the country are grappling with a deepening crisis following the suspension of fees for students admitted under the new funding model until an ongoing court case is resolved. Compounding the issue, students have also experienced significant delays in receiving their upkeep funds.

Prof. Daniel Mugendi, the Vice-Chancellor of the University of Embu, reported that universities have collectively decided not to charge fees for first- and second-year students under the disputed model until the legal proceedings conclude. According to him, the exact amounts owed remain unclear, creating an operational stalemate.

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However, investigations revealed that some institutions are demanding fee payments before allowing students to sit for their end-of-semester exams, contrary to the agreement.

Prof. Mugendi highlighted that delays in disbursing Higher Education Loans Board (HELB) funds have forced many students to remain at home due to an inability to pay rent or purchase basic necessities. This has disrupted their ability to attend classes.

Nearly 250,000 students are currently affected by the funding delays caused by a court ruling that nullified the new funding model. These delays have left students unable to meet daily expenses, while universities themselves have gone without government funding since October.

Court Ruling and Financial Fallout

The court ruling has plunged all 39 public universities into a financial quagmire, with a Sh10.2 billion shortfall in scholarships and an Sh11 billion deficit in student loans.

Of the allocated Sh13 billion for scholarships, only Sh2.8 billion has been released. Similarly, just Sh5 billion of the Sh16 billion earmarked for student loans has been disbursed.

In response, the government has filed a case seeking a temporary stay on the court’s order to restore funding and facilitate university operations. On Wednesday, Prof. Mugendi announced that the Vice-Chancellors’ Committee is pursuing this stay order to ease the strain on both students and universities.

The financial crisis has triggered widespread unrest among university staff. Moi University staff declared an indefinite strike on Monday, just weeks after suspending a strike that began in August 2024.

Staff unions, including the Universities Academic Staff Union (UASU) and Kenya University Staff Union (KUSU), cited the government’s failure to honour agreements as the reason for halting services.

University lecturers had resumed work on November 23 after reaching an agreement with the Inter-Public Universities Councils Consultative Forum (IPUCCF).

Read Also: All Day Secondary School Learners in Thika Constituency to Get Sh2,500 per Term Plus Free Meals

The deal included a commitment to fully implement the 2021–2025 Collective Bargaining Agreement (CBA), valued at Sh9.7 billion. While the government pledged to pay Sh4.3 billion by June 2025, the remaining Sh5.4 billion is to be disbursed in two instalments of Sh2.7 billion each.

Summary of Financial Gaps

Funding ComponentAllocated AmountReleased AmountShortfall
ScholarshipsSh13 billionSh2.8 billionSh10.2 billion
Student LoansSh16 billionSh5 billionSh11 billion

The Way Forward

The academic disruptions caused by the lecturers’ strike in September and the ongoing financial challenges have left universities in turmoil. Prof. Mugendi emphasized the urgent need for the court to lift the suspension on funding to alleviate the crisis.

Both students and staff now face an uncertain future, with universities struggling to maintain operations and fulfil obligations.

Public Universities Funding Crisis: Staff Strikes and Student Hardships Escalate

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Tags: Education FundsHigher Education Funding ModelPublic University
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