Storm over 'ghost students' as report exposes rot in school funding
Education
By
Mike Kihaki
| Feb 15, 2026
A damning new report has lifted the lid on the shadowy world of “ghost students” in school.
This exposes how inflated enrolment figures are draining millions from the education sector and denying genuine learners critical resources.
paints a troubling picture of systemic manipulation of student data, where non-existent learners are entered into official records to attract additional capitation funds.
The practice, the report indicates, has quietly siphoned public money meant for textbooks, infrastructure and school feeding programmes.
On Friday Education Cabinet Secretary Julius Ogamba said 34 school heads, 28 ministry officials would face disciplinary action for failing to report ghost learners, schools after verification.
READ MORE
Insurers switch land for cash as regulators tighten capital rules
Gulf Energy to pump over Sh780b into Turkana oil project
Normal flights resume after KQ faces Sunday disruptions over bad weather
Why co-shared spaces could be the future of Kenya's banking sector
New bridge simulator to boost seafarers' training in Malindi
Relief at the pump as fuel prices drop
Ruto tells African leaders to speed up AfCFTA implementation
Why Kenya wants embassies turned into trade engines
Ouko Muthoni, Tunza Mtoto Coalition, Executive Director said Kenya’s education funding model is largely based on per-learner capitation, introduced to promote equitable access to free primary and subsidised secondary education.
"Capitation funds are not administrative conveniences, they are constitutionally protected resources meant for learners. Inflating enrolment figures to draw public funds is not a clerical error, it is theft from children," she said.
Over the years, however, concerns have persisted that some institutions exaggerate enrolment figures during audits and data submissions to the Ministry of Education in order to receive higher allocations.
The Phoenix report documents discrepancies between actual classroom attendance and officially declared numbers, raising questions about oversight mechanisms and accountability at both school and ministry levels.
"The findings confirm a troubling reality: public funds meant to guarantee children's constitutional right to education were manipulated through falsified and inflated enrolment data within the National Education Management Information System (NEMIS)," she said.
Ouko noted that in some cases, enrolment records reportedly remained inflated even after transfers, dropouts or completion of studies.
“Every shilling lost to ghost students is a shilling stolen from a child who needs a desk, a book or a meal. It undermines public trust and sabotages efforts to improve quality and equity,” he said an education official familiar with the findings.
Parents and teachers have also expressed outrage, noting that while official data may show adequate funding, realities on the ground tell a different story: overcrowded classrooms, delayed disbursements and chronic shortages of learning materials.
Ouko argues that the problem is rooted in weak data verification systems and limited integration between school records and national population databases.
"Inflating learner numbers to obtain capitation funds amounts to fraud, abuse of office and economic crime. Where capability is established, prosecution must follow," Muthoni said.
Without real-time biometric or digital validation tools, they warn, the door remains open for manipulation.
The report calls for tighter audits, stricter penalties for culpable administrators, and the deployment of technology-driven learner registration systems.
"Every shilling irregularly obtained through inflated enrolment must be recovered. Assets tracing, surcharges, and civil recovery proceedings should be initiated without delay," she added.
It also recommends cross-checking enrolment data with national identification and civil registration systems to eliminate duplication and fictitious entries.
As the government continues to prioritise education reforms and increased budgetary allocations, the ghost student scandal threatens to erode gains made in access and transition rates.
Ultimately, restoring integrity in school funding will require more than policy pronouncements.