NAIROBI, Kenya – More than 40 public universities have been flagged by the Auditor General for spending a staggering Sh62 billion on salaries in the 2023/2024 financial year, raising fresh concerns over financial discipline and weak compliance with fiscal laws.
According to Auditor General Nancy Gathungu’s report, the institutions used 62 per cent of their total Sh100 billion revenue on personnel emoluments, leaving little for development projects, research, or operational needs.
“This continued growth suggests that institutions are consistently failing to meet their short-term obligations, including trade payables, statutory deductions, and other operational expenses,” the report notes.
The universities’ current liabilities have been rising steadily, signalling persistent financial strain despite regular government bailouts and tuition income.
Top Spenders
The University of Nairobi topped the list with a wage bill of Sh8.6 billion, followed by Kenyatta University (Sh6.6 billion), Jomo Kenyatta University of Agriculture and Technology (Sh5.1 billion), Moi University (Sh4.5 billion), and the Technical University of Kenya (Sh3.9 billion).
Others with significant wage burdens include Egerton (Sh2.8 billion), Maseno (Sh2.5 billion), Masinde Muliro (Sh2.4 billion), Eldoret (Sh2 billion), and Technical University of Mombasa (Sh1.6 billion).
Breach of Fiscal Rules
The report shows 39 public universities exceeded the 35 per cent wage ceiling set under the Public Finance Management Regulations, undermining fiscal responsibility principles.
The Technical University of Kenya emerged as the worst offender, with its staff costs hitting 116 per cent of total revenue, meaning it spent more than it earned.
Taita Taveta University followed at 87 per cent, and the Technical University of Mombasa at 83 per cent.
Violations of Employment and Diversity Laws
The audit also uncovered breaches of employment and cohesion laws.
Twelve universities violated the Employment Act, 2007, by paying 313 employees net salaries below one-third of their basic pay, contrary to labour standards.
The worst offenders included Dedan Kimathi University of Technology (103 employees), Jaramogi Oginga Odinga University of Science and Technology (100), Garissa University (25), and the University of Nairobi (31).
Additionally, 19 universities breached the National Cohesion and Integration Act, with staff from a single ethnic group making up between 45 and 73 per cent of their workforce—well above the legal limit of one-third.
Calls for Stronger Oversight
Gathungu’s report highlights recurring weaknesses in governance, compliance, and accountability, warning that unchecked wage growth could cripple the institutions’ capacity to sustain operations or fund development.
She urged public universities to tighten internal controls, observe fiscal discipline, and ensure diversity and fair representation in staffing to restore credibility in the higher education sector.
