NAIROBI, Kenya – President William Ruto staunchly defended Kenya’s newly introduced university funding model, emphasizing that the concept of categorizing students into financial bands is not new.
Instead, the President highlighted that banding has been a cornerstone of university funding since 1996, long before the current model was put into place.
“There has always been banding. I know there is a push that maybe this banding started with this model, but it did not. It has always been there,” President Ruto remarked.
The revised funding model, unveiled on May 3, replaces the Differentiated Unit Cost (DUC) framework. Under the new structure, students are categorized into five bands, an increase from the previous four, ensuring a more nuanced approach to financial support.
This model is designed to ensure that all eligible students receive adequate financial assistance, thereby promoting equal access to quality higher education.
The new model segments students into five distinct bands based on their families’ monthly income, with varying levels of government scholarship, loan coverage, and family contribution:
Band One: Targeting the most financially challenged families, those earning a monthly income of up to Sh5,995, this band offers substantial support. Government scholarships cover 70% of fees, with an additional 25% offered as loans. Families contribute a minimal 5% of the total fees, and students receive an upkeep loan of Sh60,000.
Band Two: Catering to families with incomes between Sh5,995 and Sh23,670, this category offers 60% of fees covered by government scholarships and 30% through loans. Families are responsible for 10% of the fees, with students receiving an upkeep loan of Sh55,000.
Band Three: For families earning between Sh23,670 and Sh70,000 per month, the government covers 50% of the fees, and loans cover 30%. Families contribute the remaining 20%, with students eligible for an upkeep loan of Sh50,000.
Band Four: Families earning between Sh70,000 and Sh120,000 fall into this band, with the government covering 40% of the fees and loans accounting for another 30%. Families are responsible for the final 30%.
Band Five: Targeting families with incomes exceeding Sh120,000, this band requires families to contribute 40% of the fees, with both government loans and scholarships covering 30% each.
The goal of the new university funding model is to provide equitable financial support to all students, allowing access to higher education regardless of financial background.
Instead, the President highlighted that banding has been a cornerstone of university funding since 1996, long before the current model was put into place.
“There has always been banding. I know there is a push that maybe this banding started with this model, but it did not. It has always been there,” President Ruto remarked.
The revised funding model, unveiled on May 3, replaces the Differentiated Unit Cost (DUC) framework. Under the new structure, students are categorized into five bands, an increase from the previous four, ensuring a more nuanced approach to financial support.
This model is designed to ensure that all eligible students receive adequate financial assistance, thereby promoting equal access to quality higher education.
The new model segments students into five distinct bands based on their families’ monthly income, with varying levels of government scholarship, loan coverage, and family contribution:
Band One: Targeting the most financially challenged families, those earning a monthly income of up to Sh5,995, this band offers substantial support. Government scholarships cover 70% of fees, with an additional 25% offered as loans. Families contribute a minimal 5% of the total fees, and students receive an upkeep loan of Sh60,000.
Band Two: Catering to families with incomes between Sh5,995 and Sh23,670, this category offers 60% of fees covered by government scholarships and 30% through loans. Families are responsible for 10% of the fees, with students receiving an upkeep loan of Sh55,000.
Band Three: For families earning between Sh23,670 and Sh70,000 per month, the government covers 50% of the fees, and loans cover 30%. Families contribute the remaining 20%, with students eligible for an upkeep loan of Sh50,000.
Band Four: Families earning between Sh70,000 and Sh120,000 fall into this band, with the government covering 40% of the fees and loans accounting for another 30%. Families are responsible for the final 30%.
Band Five: Targeting families with incomes exceeding Sh120,000, this band requires families to contribute 40% of the fees, with both government loans and scholarships covering 30% each.
The goal of the new university funding model is to provide equitable financial support to all students, allowing access to higher education regardless of financial background.
