The University Fund Chief Executive Officer Geoffrey Monari has explained why some university students have not received their (Higher Education Loan Board) HELB disbursements.
Speaking during a media interview on Friday, January 17, Monari stated that due to the increasing number of students joining universities each year, the government has to prioritize funding for those with the most pressing financial needs.
“One thing we must realize as Kenyans is that as the numbers grow, we cannot fund all students. We must be able to identify those who genuinely deserve financial support, and they should be fully funded. That is the principle behind the current funding model,” said Monari.
Monari explains why select students will not receive HELB cash
He also attributed the current distribution of funds to a formula introduced in 2016 called the Differentiated Unit Cost (DUC), which was designed to have the government contribute the majority of the funds while students contributed less towards their tuition fees. However, this approach did not materialize as planned.
“How much funding, for example, should be allocated to the University of Nairobi compared to Maasai Mara University or Turkana University? That is why the DUC formula was introduced, with the initial intention of having 80% of the tuition covered by the government and 20% by the students. Unfortunately, none of this was fully achieved,” Monari further clarified.
The University Fund CEO also stated the reason why the first year and second year students have not yet received their cash despite them allocating funds for their tuition and upkeep fee.
“For the first and second years we had released Ksh 5 billion as funding body and HELB had released Ksh 8 billion. However, as we were cruising at 33,000 feet we were given a sudden halt by the courts,” the CEO stated.
Also Read: HELB Opens Loan and Bursary Application Portal for Select Students
Monari’s statement comes as most university students resume their second semester, with many depending on the HELB loan to cover tuition fees.
However, funding agencies have warned of a delay in disbursing the funds due to a recent court ruling that declared the funding model unconstitutional.
Government appeals ruling on new funding model that rendered it unconstitutional
However, Cabinet Secretary for Education Julius Ogamba stated that the government appealed the ruling.
“As a government, we have appealed the decision and filed an application to stay the ruling pending the appeal. We are currently awaiting directions from the court,” Ogamba said.
Among the government agencies appealing Justice Chacha Mwita’s ruling are the Universities Fund and HELB.
Also Read: HELB Announces 32 Vacancies; How to Apply
On December 20, 2024, Justice Chacha Mwita declared the new university funding model unconstitutional, ruling that it was discriminatory and violated students’ right to education.
“The government has a constitutional responsibility to fund public universities. Passing this burden onto parents is a violation of the Constitution,” said Mwita.
President William Ruto asked universities to allow students to sit for their exams without clearing fees.
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