Kenya’s higher education funding model, introduced in September 2023, has been dealt a significant blow after the High Court declared it unconstitutional. The model, designed to address financial challenges in public universities, was criticized for its discriminatory categorization of students and lack of public participation. This decision has left over 250,000 students and universities grappling with uncertainty as the government scrambles to revise its approach.
The High Court Ruling
In a landmark judgment, Justice Chacha Mwita declared the new funding model unconstitutional and discriminatory, prohibiting its implementation. The model, known as the Variable Scholarship and Loan Funding (VSLF), categorized students into bands based on perceived financial ability, which the court found to be unfair and legally unsound.
Key Findings of the Ruling
Justice Mwita emphasized that the government had failed to involve the public in shaping the model, a constitutional requirement for such fundamental reforms. He stated, “The model should have been subjected to the public so that they could comment before its implementation.”
The court found the “banding” system discriminatory. It created financial labels based on income, where students from families earning less than KES 5,995 were classified as Band 1 (most needy), while those earning above KES 120,000 fell under Band 5. Lower bands received more scholarships, while higher bands faced heavier financial burdens.
The ruling also highlighted the lack of a legal framework for the model’s implementation, stating that “the funding model is not anchored in any law.” This legal vacuum made the procedures for its operation unclear and unsupported. The case, filed by the Kenya Human Rights Commission, Boaz Wakuru, and Elimu Bora, argued that the funding model violated the right to education by being arbitrary, undefined, and discriminatory.
The Government’s Response
Following the High Court ruling, Education Cabinet Secretary Julius Ogamba announced that the government is refining the funding model to align it with constitutional requirements.
Working Party on Education Reforms
President William Ruto had in 2023 formed a 129-member working committee to review the funding model. This team, chaired by Prof. Japheth Micheni Ntiba, submitted an interim report and continues to work toward a final set of recommendations. The committee is focusing on key issues such as student categorization, the structure of loans, and the cost of academic programs.
Short-Term Measures
The government is complying with the court order while planning to appeal the ruling. Universities have been directed to explore alternative funding strategies until a new model is finalized. Ogamba assured the public that no student will be left behind. Ogamba also emphasized that public universities must remain accessible. “The government must ensure that every student has the resources they need to succeed,” he said.
Implications for Students and Universities
The suspension of the funding model has left over 250,000 students in limbo. Public universities, already struggling with financial sustainability, face additional challenges as disbursements remain frozen.
Impact on Students
Students admitted under the now-suspended funding model face uncertainty about how their education will be funded moving forward. Many have called for the reinstatement of the Higher Education Loans Board (HELB) model, which they see as more equitable.
Impact on Universities
Public universities have not received funding since October 2024 due to the suspension, leaving many institutions at risk of closure. Vice-chancellors are seeking legal guidance on how to proceed.
Criticisms and Challenges
The ruling has intensified the debate over the new funding model. Critics argue that it unfairly categorizes students, excludes public participation, and shifts financial responsibility onto parents.
Issues With the Model
The “banding” system was widely criticized for creating financial disparities and oversimplifying household incomes. Critics also highlighted the lack of transparency in how the bands were determined. Shifting significant financial burdens to parents was deemed unrealistic given the country’s economic conditions.
Support for the Model
Proponents argue that the model aimed to address systemic financial woes in public universities and ensure resources were allocated based on need. President Ruto defended the model, saying, “We have decided this time around to bite the bullet and sort out the funding in our education sector.”
What’s Next?
The government’s immediate focus is on addressing the High Court’s concerns and refining the funding model.
Appealing the Court Ruling
The government plans to appeal the decision, arguing that the model was necessary to address systemic challenges in university funding.
Refining the Model
The working party’s final recommendations will form the basis of a revised funding approach. The new model will aim to address legal and social concerns while ensuring financial sustainability for public universities.
Supporting Universities
Interim measures are being developed to provide immediate relief to universities and students as the government works on a long-term solution.
Conclusion
The High Court’s decision to strike down the new university funding model marks a critical juncture in Kenya’s education sector. While the ruling underscores the flaws in the model’s design and implementation, it also highlights the urgent need for a funding system that is fair, inclusive, and sustainable. As the government revises the model, the future of public universities and thousands of students remains uncertain. This moment provides an opportunity to craft a funding system that upholds constitutional values while addressing the pressing financial challenges in Kenya’s higher education sector.
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