University students stranded as uncertainty over funding model lingers

As public universities reopen for the second semester, thousands of first- and second-year students are yet to report to campuses, trapped in a financial limbo caused by a High Court ruling that declared the government’s new university funding model unconstitutional.

With no money for tuition, accommodation, or even basic meals, many students face the harsh reality of potentially missing out on education.

Prof Daniel Mugendi, Chairperson of the Vice-Chancellor’s Committee of Public Universities in Kenya said without funds for tuition, accommodation, or meals, many students face uncertainty about their education.

“Universities have opened, but because of the ruling, first- and second-year students cannot access support from the government. They don’t have money for their upkeep, and many are unable to attend lectures,” said Prof Mugendi.

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The High Court ruling, delivered in December 2024, froze disbursement of funds under the Higher Education Loans Board (HELB) and the Universities Fund. These funds were critical for first- and second-year students under the new student-centered funding model introduced in May 2023.

Prof Mugendi who doubles as the VC Embu University expressed optimism that the case would be handled urgently to enable release of funds.

“This is what is keeping universities operational for now because the rest of the students have their upkeep from Helb already in their accounts,” he said.

According to Universities Fund Chief Executive Officer Geoffrey Monari, under the annulled funding model, students’ financial needs were assessed based on poverty levels and the cost of their courses. It was designed to ensure equity and efficiency,

Monari warned that the court’s decision could lead to a collapse of higher education.

“The judgment has made it impossible for us to disburse funds to universities or students, especially the first and second years who are the primary beneficiaries of this model,” he stated in court filings.

HELB Acting CEO Mary Muchoki echoed these concerns.

“This judgment has paralyzed our ability to fund university education. Without immediate action, institutions are at risk of indefinite closure,” she said.

The financial impasse has hit students hard. Many have been unable to afford basic needs, let alone attend classes. Some are already threatening to strike.

“I don’t know how I’m supposed to survive. I can’t even afford meals, let alone transportation to campus,” said John Mwangi, a first-year engineering student.

Sentiment shared by Mary Achieng, a second-year education student at Maseno university, says the HELB funds represent a lifeline.

“That money is the only thing keeping us afloat. Without it, I don’t know how I’ll continue with my studies,” Achieng said.

Some universities have turned to internal funding initiatives to bridge the gap, but these efforts are insufficient to address the shortfall.

Education Cabinet Secretary Julius Ogamba has urged universities to accommodate students while the legal battle continues.