New Funding Model

New Higher Education Funding Model

The New Higher Education Funding Model was unveiled by President Willam Ruto on May 3, 2023 to address challenges faced by public universities and Technical and Vocational Education (TVET) institutions as a result of massive enrolment and inadequate funding. The new funding framework replaced the Differentiated Unit Cost (DUC) that was used to finance universities. The model has delinked placement from funding and puts emphasis on a student’s financial need. With the new model, universities and TVET institutions will no longer receive block funding in the form of capitation. Funding to students will be through scholarships, loans and household contributions. Under the new Model, students will benefit from scholarships and loans to finance their tertiary education.

Government Scholarships

The Universities Fund will provide scholarships to students between 30% to 70% depending on level of need. The deficit will be met through household contributions and loans. To receive scholarships, students will be required to formally apply on the Higher Education Funding (HEF) Portal – www.hef.co.ke. The Means Testing Instrument (MTI) tool will be used to determine the level of need for funding students.

Key Players

The new Higher Education Funding Model is being implemented jointly by Universities Fund (UF), Higher Education Loans Board (HELB), Kenya Universities, Colleges Central Placement Service (KUCCPS) and State Department for Technical and Vocational Education and Training. On its part, UF will award scholarships to students, HELB will provide loans to students while KUCCPS will be in charge of placing KCSE graduates to higher learning institutions. Other players are higher learning institutions, the recipients of loans and scholarships awarded to students inform of fees, while parents will provide household contributions towards educating their children.


Only candidates who sat their KCSE examination in 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. Applications can also be made at: www. universitiesfund.go.ke.

Benefits of the New Higher Education Funding Model

  • Ensures that all eligible Kenyan students are provided with adequate financial support towards their education.
  • Promotes provision and access to quality higher education.
  • Ensures all students are equitably and adequately supported based on their level of financial need. Ensures timely disbursement of funds to students through their higher learning institutions

Application requirements

  • Valid email address.
  • Valid telephone
  • KCPE and KCSE Index number and year of examination.
  • Passport size photo.
  • College/university admission letter.
  • Your birth certificate.
  • Your parents/guardian registered telephone number.
  • Your parent’s/guardian’s ID number.
  • Death certificate if any if your parent is deceased.
  • Copy of a sponsorship letter if you were sponsored in secondary school.

Application Process

Step 1

Register and Log in

Step 2

Fill profile and upload documents

Step 3

Tick box to apply for scholarship

Step 4

Submit your application

Step 5

Wait for SMS notification

Step 6

Wait for award letter

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