Kenyan schools are struggling with cash flow problems due to delayed capitation funds, and education stakeholders are calling on the government to act fast.
Release the Arrears Now
The Kenya Secondary Schools Heads Association (KESSHA) is asking the National Treasury and Ministry of Education to release KSh64 billion in outstanding capitation arrears over the last 4 years.
KESSHA National Chairman, Willy Kuria, says schools are cash strapped and owe between KSh20 million to KSh70 million. He warns that water and electricity will be cut off if payments are not made.
“By the time schools closed for Term Three last year, we had a deficit of about KSh7,000 per learner,” said Kuria who is also the Principal of Murang’a High School.
The Treasury Cabinet Secretary John Mbadi told stakeholders that KSh48 billion, that’s 50% of this year’s budget, will be released this week. The funds will be allocated as follows:
- Free Primary Education: KSh4.13 billion
- Free Day Junior School Education: KSh15.33 billion
- Free Day Secondary Education: KSh28.92 billion
County Bursaries Frozen
The cash flow problems have been worsened by a directive from Controller of Budget Margaret Nyakang’o that county governments should not issue bursaries. The reason is that education beyond Early Childhood Development (ECD) is a national government function.
Governors, parents and education stakeholders have criticized the directive saying county bursaries are crucial for supporting students from poor families. Nairobi Governor Johnson Sakaja says over 124,000 learners in the city, mostly from slums, will be affected.
Impact on Students and Communities
Parents in Tana River County are crying foul, some predicting poverty and illiteracy will increase. The county had been allocating KSh150 million annually for bursaries which benefited over 7,000 students.
Community leaders like Mohamed Argamso, Chairperson of the Pastoralists Parents Association, say county bursaries are crucial in providing equal support to students from diverse ethnic backgrounds.
Next Steps
The cash flow problems highlight the need for:
- Release of capitation funds to schools on time.
- Reversal of the Controller of Budget’s directive to counties.
- A permanent solution to funding so that learning is not disrupted and we don’t rely on handouts.