Treasury to Inject Ksh 500 Million for Moi University Recovery.
Moi University has received a crucial financial boost following an announcement by Julius Melly, Chairperson of the National Assembly’s Education Committee, revealing that the National Treasury has disbursed funds to the institution.
During a session in Parliament on Friday, October 18, 2024, Melly reported that the National Treasury had released Ksh 609 million to Moi University in October.
He further indicated that the University is set to receive an additional Ksh 500 million by mid-November 2024 to help mitigate the ongoing financial challenges.
To ensure the effective use of these funds, Melly noted that a caretaker committee would be formed to oversee the management of the university during its recovery period.
University Shutdown and Staff Strikes
The financial intervention comes after an extended debate about the institution’s financial crisis, which led to the university’s closure for over two weeks.
Lecturers had gone on strike due to unpaid salaries, and casual workers also halted their services. The strikes forced the university administration to instruct students to vacate the premises.
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To address the disruption of education, the committee recommended that Moi University should reopen on November 4, 2024.
Melly emphasized that before the reopening, university staff would need to sign a return-to-work agreement to create a consensus and pave the way for resuming operations.
This process will involve an inter-ministerial committee comprising representatives from the Ministry of Education, the National Treasury, and the Ministry of Labour.
Revenue Generation and Financial Sustainability
In a bid to secure the university’s financial future, the committee directed the institution to increase revenue through various streams, including:
- University farm
- Idle assets
- Short-term training programs
- Consultancies
- Endowment funds
- Research projects
The aim is to supplement the funds provided by the exchequer and improve the university’s income over the next three years.
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Regarding the university’s debts, the institution has been instructed to negotiate a priority payment plan with its staff and creditors.
The plan should allow for the progressive payment of current pending bills, ensuring financial obligations are met without further strain on operations.
Treasury to Inject Ksh 500 Million for Moi University Recovery.
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