Enhancing the Effectiveness and Sustainability of Higher Education Sub-Sector in Kenya: Potential Revenue Diversification Initiatives in Public Universities

Abstract

Although universities are expected to make strategic contributions, majority of public universities in Kenya continue to experience financial constraints due to inadequate government funding. The limited funding requires that these institutions make efforts to embrace revenue diversification so as to be fully operational. In view of the ongoing implementation of the competency-based curriculum (CBC), which is resource-intensive, these institutions are expected to ready themselves for the first batch of senior secondary school graduates by 2029. By embracing revenue diversification, they will improve equitable access to quality higher education in Kenya. There is need, therefore, for Kenya’s public universities to enhance revenue diversification initiatives.  This paper presents data on universities financing and enrolment trends, a marketing framework for non-profit organizations and proposed revenue diversification strategies, potential challenges and solutions and some recommendations on how these universities can generate additional resources so as to be financially sustainable.

Key words: Revenue diversification, Sustainability, Public universities, Financial sustainability.

DOI: 10.7176/JEP/15-12-02

Publication date: December 30th 2024