Main Aspects of New University Funding Model
Main Aspects of New University Funding Model. The government recently unveiled a new funding program for universities and Technical and Vocational Education and Training (TVET) institutes.
The objective of the student-centered and quality-driven policy is to improve equality, fairness, and transparency in the distribution of government loans and scholarships to students seeking higher education.
This article examines the key features of the new system for funding universities as well as its effects on students.
Addressing Uniform and Inequitable Capitation: Under the previous Differentiated Unit Cost (DUC) paradigm, rich and poor students got the same amount of financing, which resulted in uniform and unfair capitation.
In order to solve this, the new funding structure will distribute university funds to particular students in accordance with their level of need.
The fair distribution of financial aid is ensured by this tactic.
Universities and TVETs would no longer get block funding; instead, they will receive customized support. Instead, based on their financial need, the government has opted to distribute money directly to students.
With this change, college students and those pursuing technical training from all socioeconomic backgrounds will have equal access to these opportunities.
Funding Categories: The new funding model comprises a number of categories depending on how severe the demand is.
Risky students, such as those who are disabled, will receive 80% scholarships and 20% loans.
The neediest students will receive 70% in scholarships and 30% in loans.
The third group of economically disadvantaged students will receive loans worth 30%, 50% in scholarships, and their families will fund 20% of the fees.
The fourth group of less needy students will receive 32% scholarships, 48% loans, and 20% of the fees will be covered by their families.
When determining how much funding will be given out, four things will be taken into account: the program picked, the home income range, the affirmative performance, and the government priority regions.
This ensures that students with different academic interests and financial situations have an equal chance of receiving assistance.
increased Budgetary Allocation: To aid in the execution of the new financial framework, the government has boosted the budget for higher education to Sh84.6 billion.
This is a considerable increase over the previous allotment of Sh54 billion.
The budgetary funding for TVETs would also increase from Sh5.2 billion to Sh10 billion in order to better support trainees financially.
No Fee Increase: According to President William Ruto, there won’t be any fee increases as a result of the new funding model.
The government is committed to offering all students the necessary assistance to pay for their chosen courses.
This news brings relief to the applicants for the KCSE class of 2022 whose admission was delayed while the funding mechanism was being developed.