Govt Sponsored Students at Risk as 23 Universities Face Insolvency

The Ministry of Education has revealed that 23 public universities are facing severe financial difficulties, making them technically insolvent. 

Speaking before the Members of the National Assembly Committee on Education on Wednesday, March 19, Education Cabinet Secretary (CS) Julius Migos Ogamba admitted that the financial crisis in Kenya’s public universities had worsened. 

Further, CS Migos said that government students were the ones who would be affected the most.

During the meeting, the legislators questioned the huge debts in public universities, highlighting the University of Nairobi (UoN) and the Technical University of Kenya (TUK).

Moreover, they noted that UoN has pending bills of Ksh13.58 billion, including Ksh4 billion in historical arrears. On the other hand, TUK has a Ksh12.99 billion debt.

“A pending bill of Ksh12.99 billion doesn’t make sense. Where will the funding come from to repay these debts,” asked the committee.

Also Read: Technical University of Kenya Announces Firing of 559 Employees

Other Red Flags Raised in Public Universities

At the same time, the committee raised concerns over the long-standing financial mismanagement in public universities. 

Baringo North MP Joseph Makilap highlighted a stalled student accommodation project at UoN’s Lower Kabete campus, initiated in 1990.

“Is this a project worth reviving after 35 years?” he asked the CS.

Also, Lugari MP Nabii Nabwera noted that universities failed to remit statutory deductions, explaining that TUK had not remitted statutory deductions for staff for over 15 years.

Teso South MP Mary Emaase questioned the fate of Ksh5 billion reportedly lost from TUK’s pension fund.

“We have received reports that TUK employees have lost their pensions. We need to know how the Kshs 5 billion was lost,” she stated.

Similarly, Moiben MP Phylis Bartoo inquired about the current chair of UoN’s Council, accusing the ministry of ignoring cases of individuals holding office illegally at UoN.

“There are individuals occupying office unlawfully at the taxpayers’ expense. What measures has the Ministry taken to address this?” asked the legislators. 

To address the highlighted challenges, the ministry has proposed a 2025-2026 Transformation Strategy, which aims to Improve university leadership and governance, Enhance financial sustainability, and Strengthen resource mobilization efforts.

Also Read: TUK Lecturers End Strike, University Announces New Academic Calendar

TUK Firing Employees

Earlier, TUK announced plans to lay off at least 559 employees because of financial challenges at the institution. 

According to a report to the National Assembly Departmental Committee on Education, which reviewed the university’s operations for the 2024/2025 financial year, TUK had a staff population of 1,619 in July 2024.

Over seven months, the number has declined to 1,452 as of February 2025 due to resignations, retirements, terminations, deaths in service, and the non-renewal of certain contracts.

Despite the reduction, the university management noted that it planned to further downsize its workforce to 893 by the 2027/2028 financial year.

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