The Cabinet has approved the formation of a University of Nairobi Transformation Strategy, aimed at resolving the longstanding financial and operational challenges at the institution.
In a dispatch from a Cabinet meeting held on Tuesday, December 17, 2024, cabinet secretaries approved the strategy, designed to address the challenges and restore the academic and operational excellence of UoN.
Kenya’s premier university has recently been in the news for the wrong reasons and has now caught the eye of the Executive.
According to the Cabinet resolution, the strategy is expected to transform UoN within 24 months.
“Following a directive from President [William] Ruto, the Ministry of Education and the university leadership have developed an ambitious 24-month Transformation Strategy, which has been approved by the University Council,” the statement from the Cabinet stated.
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The university has made headlines due to staff and student strikes, leadership conflicts, and a decline in academic and support services.
CSs noted that the financial difficulties had resulted in staff and student strikes, leadership conflicts, and a decline in academic and support services.
Coupled with financial and operational challenges such as outstanding obligations, funding constraints, leadership transitions, and limited resources, have contributed to its drop in global rankings.
“Despite its rich legacy, the university has faced financial challenges, including unpaid statutory deductions of Sh4.1 billion, pension arrears of Sh7 billion, and pending bills amounting to Sh13.2 billion. These challenges have resulted in staff and student strikes, leadership conflicts, and a decline in academic and support services, consequently causing a drop in global rankings,” the Cabinet stated.
In May 2024 UON unveiled 5 major new projects to transform the university, called the “Big 5” initiatives (#UoNBig5) designed to leverage the University's strengths and strategic partnerships to respond to some of the most pressing challenges and important opportunities facing Kenya, Africa and the globe.
“This strategy outlines eight strategic objectives with clear action plans and timelines, leveraging available resources and partnerships to restore the University of Nairobi to its leading position in higher education and research. This marks a critical step in revitalising the university and ensuring it continues to produce top-tier graduates and groundbreaking research,” it added.
UoN has experienced substantial financial deficits, with reports indicating losses in the billions. In the fiscal year leading up to June 2020, the university was unable to remit statutory deductions amounting to Sh7.01 billion, including Pay As You Earn (PAYE) taxes and pension contributions.
The implementation of the Differentiated Unit Cost (DUC) model led to a decrease in government funding, creating a significant budget shortfall.
Additionally, increasing operational costs, such as staff salaries, utilities, and maintenance, have further strained the university's finances. Delayed payments from both the government and students have exacerbated cash flow problems.
The university has also faced a decline in student enrollment, particularly in self-sponsored programs. This drop is attributed to a decrease in the number of students meeting the minimum university entry requirements, leading to reduced tuition revenue and further financial strain.
During its graduation ceremony on Friday last week, the chancellor Prof Patrick V. Verkooijen issued an ultimatum to the university leadership.
“I am convinced we can not only be the greatest university in Africa but one of the greatest in the world. To achieve this, first, you must put the house in order. Then increase staff numbers and improve teacher-student ratios. With the support of the President, the Cabinet Secretary for Education, and the Council, the University of Nairobi will embark on a rapid transformation plan over the next two years – our social contract with you,” he said.
