Kenyan households continue to bear the financial burden of sustaining public education despite government promises of free education, a new Usawa Agenda 2026 report reveals.
The findings show that families are effectively subsidising schools, with parents funding teacher salaries, maintenance, and other operational costs, exposing the gap between policy and reality.
One of the most alarming revelations is dropout pressure driven by cost. The report notes that four in ten children leave school due to lack of fees, challenging the assumption that financial barriers have been eliminated. Instead, they have shifted form, leaving families struggling to absorb hidden expenses.
Despite reforms, concerns persist over sustainability. Secondary school enrolment remains high, with 3.34 million learners in Forms 2, 3, and 4 in 2025. Yet resources have not kept pace, leaving schools overstretched.
Universities face greater financial strain, with a projected KSh260 billion funding shortfall in the 2026/2027 financial year. At least 23 public universities risk insolvency due to pending bills amounting to KSh85.28 billion as of January 2026.
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The introduction of the Variable Scholarship and Loan Funding (VSLF) model in 2023 was meant to improve equity. However, stakeholders argue that the Means Testing Instrument (MTI) used to assess need is flawed, locking out vulnerable learners. Even for those who qualify, support is often insufficient, with households still covering accommodation, food, and transport amid rising living costs.
The Usawa Agenda report highlights how deeply parents are involved in sustaining schools. It notes that 67 out of every 100 shillings paid to Boards of Management (BOM) teachers come from parents, while government capitation contributes only 6.7 shillings. In rural areas, the burden is heavier, with parents funding 70 out of every 100 shillings.
This imbalance has created a fragmented financing system where state support is inadequate, forcing schools to rely on community contributions, levies, and informal payments.
For many families, these costs are unpredictable and unsustainable, leading to financial fatigue and, in some cases, withdrawal of children from school. Analysts have warned that unless funding structures are reformed, Kenya’s education sector risks deepening inequality and undermining the promise of free schooling.
By Masaki Enock
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