Lobby Proposes Increased Levies To Boost Higher Education Funding

The National Association of Private Universities in Kenya (NAPUK) has proposed increasing levies to strengthen the funding of higher education in the country.

In a letter dated February 11, 2025, addressed to Education Cabinet Secretary Julius Migos Ogamba, NAPUK Chairman Simon Gicharu urged the government to expand funding sources beyond the national exchequer to ensure students receive adequate financial support.

“The body should have the capacity to source funding from both local and international partners and explore revenue-raising measures such as education bonds, financial assets, and training levies from employers,” the letter stated.

Gicharu noted that similar levies already exist in sectors such as hotel and catering, as well as industrial training. He further suggested that levies could be imposed on profits from institutions or individuals benefiting from specific types of training.

The higher education sector in Kenya has grown significantly over the last 15 years, with the number of universities—both public and private—now exceeding 79. This expansion has been driven by increased enrollment, as more students qualify for university admission each year.

However, the New Funding Model, introduced under President William Ruto, faced a major setback when the High Court suspended its implementation. The court ruled that the model was discriminatory and lacked a legal foundation, citing inadequate public participation before its adoption.

Gicharu emphasized the need to clearly define the government’s role in education. He pointed out that while the state should ensure free access to basic education, Article 55 of the Constitution mandates the government to facilitate access to relevant education and training for the youth at the tertiary level.

He also stressed the importance of sustainability in any funding model.

“The funding model should be given legal capacity to support its long-term sustainability. It should be an independent and professionalized corporation, possibly under the name and style of the National Students Financial Aid Corporation,” Gicharu proposed.

Additionally, he recommended that Kenya adopt best practices from South Africa’s National Student Financial Aid Scheme to create a more effective and equitable higher education funding system.