The University fees are expected to be increased as early as 2021 after the Education Ministry and the National Treasury approved a proposal from the vice-chancellors to increase fees three times.
The National Treasury yesterday told Parliament that it supports the proposal by Vice-Chancellors to increase the fees as part of efforts to keep the institutions afloat amid a strained economy.
Vice-chancellors want fees increased from Sh16, 000 to 48,000.
While appearing before the National Assembly Committee on Education, National Treasury Principal Secretary Julius Muia told the lawmakers that reviewing the fees is part of policy option to ensure financial sustainability of universities.
“We suggest that we increase tuition fee to Ksh48, 000, then raise bursary allocation for those students not able to raise that amount,” said Julius Muia.
The proposal has gradually gained momentum since it was first raised by university bosses and is being touted as the panacea for the financial crunch facing the institutions.
Upon approval, students who will sit their 2020 KCSE exams scheduled for July next year and qualify for university placement under government sponsorship will be the first lot to pay the hiked fees.
The development sets the stage for the process of hicking of the university fees which vice-chancellors said will cure many financial problems that the institutions are facing.
Muia told the lawmakers that the Treasury is ready to pitch the case for universities financing plan by submitting a Cabinet Paper that contains fees hikes as early as next month January 2021.
“But this must start from the Ministry of Education forwarding to us a well-thought-out and all-encompassing Cabinet Memorandum that we shall look through at the Treasury and forward to the Cabinet for discussion,” he explained.
To address the issue, Helb CEO Charles Ringera said an increase in fees will mean an increase in the amount the loans board will advance to the students.
“Helb will need another Sh14 billion for the increase in terms of school fees,” Ringera said.
He said the board had already been hit by the aftermath of the coronavirus pandemic pushing the average amount offered to students for loans from about Sh45, 000 to Sh37, 000.
Helb estimates show that for a student to be comfortable they need an annual budget of about Sh200, 000
“Given that Helb provides about Sh37, 000 currently then it means the students of the household has to raise another Sh162, 000,” Ringera said.
According to Prof Geoffrey Muluvi, VCs Committee chairperson, the current Ksh16, 000 tuition fee had long been overtaken by events and was overdue for review.
“With the current average unit cost per student at Ksh254, 644, by simply taking the current fees of Ksh16, 000 against the nominal figure of Ksh86, 000 on a proportional basis concerning the current average unit cost, we have agreed that the student should pay an average figure of Ksh47, 376, which nominally could be adopted to be Ksh48, 000,” Prof Muluvi told the lawmakers.
The move to hike university fees is likely to overburden parents who are still facing tough economic times due to the coronavirus effects on the economy.
By Christabel Airo
Why r u punishing us parent ama a widow paying school fees of two children s very different. R u humans for real. Or because ur being paid u Think even us we r employed . We hustle life s so hard for us.