SUSTAINABLE FINANCING
New Funding Model
New Higher Education Funding Model
The New Higher Education Funding Model, unveiled by President William Ruto on May 3, 2023, aims to address challenges encountered by public universities and Technical and Vocational Education (TVET) institutions due to massive enrollment and inadequate funding. This new funding framework replaces the Differentiated Unit Cost (DUC) previously used to finance universities. The model prioritises a student’s financial need and separates placement from funding. Under this model, universities and TVET institutions will no longer receive block funding in the form of capitation. Instead, funding for students will be provided through scholarships, loans, and household contributions. Following the introduction of the new model, students will have access to scholarships and loans to finance their higher education.
Government Scholarships
The Universities Fund will offer scholarships to students ranging from 30% to 70% based on their level of need. Any remaining deficit will be covered through household contributions and loans. Students interested in receiving scholarships must formally apply through the Higher Education Financing (HEF) portal, accessible at www.hef.co.ke. The Means Testing Instrument (MTI) tool will be utilised to assess the level of need for funding students who apply for scholarships.
Key Players
The new Higher Education Funding Model is being implemented collaboratively by several key entities, including the Universities Fund (UF), Higher Education Loans Board (HELB), Kenya Universities and Colleges Central Placement Service (KUCCPS), and the State Department for Technical and Vocational Education and Training.
Under this model, UF will grant scholarships to students, HELB will extend loans to students, and KUCCPS will oversee the placement of KCSE graduates into higher learning institutions. Additionally, the institutions will act as recipients of the loans and scholarships provided to students in the form of fees, while parents will contribute household funds toward their children’s education.
Eligibility
Only candidates who sat for their KCSE examination from 2022 onwards are eligible for scholarships under the new Higher Education Funding Model.
Application Portal
Students can apply for scholarships and loans online at www.hef.co.ke. Alternatively, applications can also be made at www.universitiesfund.go.ke.
Benefits of the New Higher Education Funding Model
- Ensures that all eligible Kenyan students receive adequate financial support for their education.
- Promotes the provision and access to quality higher education.
- Ensures that all students are equitably and adequately supported based on their level of financial need.
- Ensures timely disbursement of funds to students through their higher education institutions.
Application requirements
- Valid email address.
- Valid telephone number.
- KCPE and KCSE index number and year of examination.
- Passport-size photo.
- College/university admission letter.
- Your birth certificate.
- Your parents’/guardian’s registered telephone number.
- Your parent’s/guardian’s ID number.
- Death certificate, if applicable, for deceased parents.
- Copy of a sponsorship letter if you were sponsored in secondary school.