Implications of increased tuition
Jul 15, 2009
AS of Financial Year 2005/06, Makerere University had an accumulated deficit bill of about sh15b for salaries, bandwidth, utilities, statutory obligations, etc.
AS of Financial Year 2005/06, Makerere University had an accumulated deficit bill of about sh15b for salaries, bandwidth, utilities, statutory obligations, etc.
The expected Makerere total accumulated deficit for the year 2006/07 was about sh64b.
Kyambogo University has accumulated salary arrears of sh2b and will register a deficit of about sh4b in the 2008/09 financial year.
Gulu registered sh2b in deficits in 2007/08 and is likely to register a funding gap of sh4b in 2008/9.
The new Busitema University will be burdened with a funding gap of about sh2b in 2008/9.
The results of the financial crisis are the delivery of inferior education, mismanagement and brain drain.
Without money, public universities can never recruit good academics and managers. As a result, administration of general affairs and the academic processes cannot be good.
There is a tendency to think that university administrators are responsible for hiking fees and other education costs without taking into account the poverty levels of the population.
That may be true. But it is not the only side of the coin — the cost of providing quality higher education when needed inputs have to be bought from the general market at prevailing prices.
If other providers of goods and services claim rightly that they must do so at market value, education providers must also be given the same latitude because they buy education inputs at market price, and someone has to pay for them. If not, low quality education will be delivered.
The onus is on the stakeholders to design a funding model that would pay universities the real cost of the products they deliver, but at the same time, devise mechanisms to help the poor purchase that quality education.
The expected Makerere total accumulated deficit for the year 2006/07 was about sh64b.
Kyambogo University has accumulated salary arrears of sh2b and will register a deficit of about sh4b in the 2008/09 financial year.
Gulu registered sh2b in deficits in 2007/08 and is likely to register a funding gap of sh4b in 2008/9.
The new Busitema University will be burdened with a funding gap of about sh2b in 2008/9.
The results of the financial crisis are the delivery of inferior education, mismanagement and brain drain.
Without money, public universities can never recruit good academics and managers. As a result, administration of general affairs and the academic processes cannot be good.
There is a tendency to think that university administrators are responsible for hiking fees and other education costs without taking into account the poverty levels of the population.
That may be true. But it is not the only side of the coin — the cost of providing quality higher education when needed inputs have to be bought from the general market at prevailing prices.
If other providers of goods and services claim rightly that they must do so at market value, education providers must also be given the same latitude because they buy education inputs at market price, and someone has to pay for them. If not, low quality education will be delivered.
The onus is on the stakeholders to design a funding model that would pay universities the real cost of the products they deliver, but at the same time, devise mechanisms to help the poor purchase that quality education.