What is the new funding formula for university students?

Victor Ochieng'

Going by the New Funding Formula, university students will get State funding for their tertiary education based on where they fall in four categories. Report of the Presidential Working Party on Education Reform chaired by Prof Raphael Munavu proposed the categories as Vulnerable, extremely needy, needy and less needy.

Then, in the recent past, there was a slight review of the funding formula. The introduction of five categories: Band 1-5. Band 1(previously vulnerable), band 2 (previously extremely needy), band 3 (previously needy) and band 4 (previously less needy). Then, there is band 5 (new category).

Chiefs and local pastors will play an integral role in identifying various categories of students through a system known as Means Testing Instrument, developed by the Higher Education Loans Board (HELB). Based on the category, a student will get different levels of funding in form of scholarships, loans and household contributions. In order to determine a student level of need, HELB will use these parameters: Parent background, gender and course, school type, expenditure on education, family size and composition, marginalisation and person living with disability.

First Funding Formula

Vulnerable students were to get full funding through 82 per cent scholarship from the government, and 18 per cent of HELB loan. The extremely needy were to get 70 per cent scholarship, and 30 per cent HELB loan. Households of students in categories of vulnerable and extremely needy students were not expected raise any amount. The needy were to get 53 per cent scholarship, 40 per cent HELB loan.

The less needy were to get 38 per cent scholarship, 55 per cent loan. In that funding formula, households of students falling in the categories of needy and less needy were to raise seven per cent of the fee.

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All students who scored C+ (plus) and above, were to apply. It is how they would be eligible for scholarship consideration. Albeit, students should take note. That in the new funding formula, students who matriculate into private universities, will not be eligible for government scholarships. Moreover, for those who are eligible, the government will consider merit, level of need, national priorities and affirmative action when selecting beneficiaries.

Reviewed Funding Formula

In the reviewed funding formula, all categories (Band 1-5) are eligible for scholarships and HELB loan. Then, all household will have a certain percentage of fee to raise. Consequently, there will be Upkeep Boom for each category. Band 1 (previously vulnerable) will get 70 per cent scholarship, 25 per cent HELB loan, household will pay 5 per cent and the upkeep boom will be KSh60,000. Band 2 (previously extremely needy) will get 60 per cent scholarship, 30 per cent HELB loan, household will pay 10per cent and upkeep boom will be Sh 55,000. Band 3 (previously needy) will get 50per cent scholarship, 30 per cent HELB loan, household will pay 20 per cent and upkeep boom will be KSh50,000. Band 4 (previously less needy) will get 40 per cent scholarship, 30 per cent HELB loan, household will pay 30 per cent and upkeep boom will be KSh45,000. Band 5 (new category), will get 30 per cent scholarship, 30 per cent HELB loan, household will pay 40 per cent, and upkeep boom will be KSh40,000.

By Victor Ochieng’

The writer rolls out career talks and training services in schools.

vochieng.90@gmail.com. 0704420232

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