Public Universities have pending bills that have doubled from Ksh.34 billion to Ksh.62 billion according to data from the Ministry of Education in a span of one year.
“Pending bills for universities currently stand at Ksh.62 billion and this figure keeps growing,” Higher Education Principal Secretary Simon Nabukwesi told Members of Parliament on Wednesday.
The universities are having a hard time honouring obligations such as payroll taxes, retirement benefits and insurance premiums for their employees.
The institutions also have outstanding fees to the National Hospital Insurance (NHIF), Kenya Revenue Authority (KRA), National Social Security Fund (NSSF), insurance companies, pension schemes, SACCOs, and banks.
“ Most universities are currently insolvent as they cannot meet statutory obligations,” Nabukwesi told the National Assembly Committee on Education during discussions on the 2022 Budget Policy Statement.
The revelation comes amidst the existing closure of Egerton University due to lecturers’ strike on delayed salaried and allowances.
Pending Bills are, however, coupled with a reduced number of students enrolling for degree courses.
According to the latest data from the Kenya Universities and Colleges Central Placement Service, Kenyan universities were left with 38,973 unfilled slots. This is after some candidates who sat for the national entrance exams in 2020 failed to take up their admission offers.