NAIROBI, Kenya- President William Ruto’s announcement that university and college students will receive full government funding from the September 2026 intake has triggered questions over what “free university education” means in practice, especially as Kenya’s higher education financing system undergoes another major overhaul.
The President said every student admitted to a public university, college or TVET institution through the government placement system would receive full government support, regardless of their family’s financial background.
The announcement represents a shift from the current Student-Centred Funding Model, introduced in 2023, where students are placed into funding bands based on assessed financial need, receiving different combinations of scholarships and loans.
The announcement has sparked questions from critics who argue that the 2026/27 Budget does not contain a specific allocation for a fully free university education programme, with debate now centred on where the additional funding required to implement the promise will come from.
Some critics have questioned the feasibility of the pledge, arguing that the current budget documents do not clearly provide for a new universal free university education programme, even as the government says reforms to higher education financing are being pursued.
So, What Does ‘Free’ Mean?
Under the proposed model, “free university education” refers to the government taking responsibility for funding the cost of higher education for eligible students admitted through the official placement system.
The details of how the funding will be structured, including whether it will involve scholarships, grants, loans or a combination of mechanisms, are expected to be determined through proposed legislative changes before implementation.
The President said the aim was to ensure that no qualified student misses higher education because of their financial background.
“It will not matter the background of any child in Kenya, but how good they are,” Ruto said.
Where Does HELB Fit In?
The announcement has raised questions over the future role of the Higher Education Loans Board (HELB), which has traditionally provided student loans alongside scholarships and bursaries.
HELB’s current system remains active, with the agency continuing to process undergraduate and TVET loan, scholarship and bursary applications for the 2026/2027 academic year.
The government has proposed reforms to restructure higher education financing, including changes involving existing funding institutions such as HELB, the Universities Fund and the TVET Fund.
The Funding Challenge
The biggest question surrounding the proposal is how the government will finance universal higher education support.
Previous funding models have faced challenges due to rising university costs, student numbers and financial pressure on institutions.
The current student-centred model was introduced partly to address funding gaps affecting public universities.
The announcement comes after concerns over the sustainability of university financing, with critics seeking clarity on the budgetary implications and the source of funds required to support all qualifying students.
A New Shift After Funding Model Changes
Ruto’s latest proposal marks another change in Kenya’s higher education financing approach.
The government moved from the Differentiated Unit Cost model to the Student-Centred Funding Model in 2023, before proposing the new universal funding approach.
For students and parents, the key questions now remain:
- Will “free” mean students no longer take loans?
- Will HELB continue issuing loans under the new system?
- How much will the government allocate annually to fund the programme?
- Will the funding cover tuition only or other costs such as accommodation and upkeep?
The answers are expected to emerge as Parliament considers the proposed legal and policy changes needed to implement the new financing framework.
