NAIROBI, Kenya — The Universities Fund has clarified that government financial support for students in private universities has not been withdrawn, assuring that those already enrolled under previous arrangements will continue receiving scholarships until they complete their studies.
In a statement issued Thursday, the Fund addressed growing public concern over reports that the State had cut off funding to private university students under the new higher education financing framework.
“Private university students who were funded under the Differentiated Unit Cost (DUC) as Government Sponsored Students will continue to receive government scholarships until completion of their studies,” the agency said.
The clarification comes amid the rollout of the Student-Centred Funding Model, which restructures how university education is financed in Kenya by splitting support between scholarships and loans.
Under the revised system, students placed in public universities will benefit from a dual support structure, receiving scholarships from the Universities Fund alongside loans issued by the Higher Education Loans Board (HELB).
However, students admitted to private universities will now access government-backed financial support exclusively through HELB loans, without direct scholarship allocation from the State.
“Under the Student-Centred Funding Model, the government is funding university students through scholarships and loans. Students placed in public universities receive scholarships from the Universities Fund and loans from HELB,” the statement added.
The policy shift marks a significant change in Kenya’s higher education financing landscape, effectively ending the parallel scholarship support that some private university students previously enjoyed under the Differentiated Unit Cost model.
At the same time, government officials have defended the model as a targeted approach designed to optimise limited public resources, prioritise public institutions, and ensure sustainability of higher education financing.
The Universities Fund’s assurance to continuing students appears aimed at preventing disruption and potential legal challenges that could arise from abrupt withdrawal of benefits, particularly for those who enrolled under a different funding regime.
As implementation of the new model continues, attention is likely to shift to its long-term impact on access, affordability, and institutional balance within Kenya’s university sector.
