Schools Straining Financially face Early Closure Despite Capitation Release
School heads and principals are facing a challenging road ahead, with public schools in Kenya at risk of encountering similar financial difficulties as public universities.
Kahi Indimuli, the Chairperson of the Kenya Secondary Schools Heads Association (KESSHA), envisions a situation where principals may be taken to court by non-teaching staff due to salary delays and non-remittance of statutory deductions.
This issue is exacerbated by the fact that schools owe suppliers significant amounts of money in unpaid bills, despite promises from the Basic Education Principal Secretary Belio Kipsang that funds would be deposited into school accounts by September 20.
The government’s debt to public schools stands at Sh29 billion, but it has received Sh16.2 billion in capitation funds from the National Treasury for distribution to public primary, junior, and senior secondary schools. Dr. Kipsang assured that these funds would be deposited into school accounts by September 20.
The delay in releasing these funds has put a strain on school leaders as they seek alternative ways to sustain their institutions. There are concerns that this funding gap may disrupt preparations for upcoming national exams, including the Kenya Certificate of Primary Education (KCPE) and Kenya Certificate of Secondary Education (KCSE).
Several schools have gone for more than four months without paying non-teaching staff salaries, raising concerns about schools’ ability to meet their financial obligations.
In addition to salary delays, many schools face substantial penalties for not remitting statutory deductions like NSSF and NHIF on time.
Schools that rely solely on government capitation, particularly sub-county schools, are among the hardest hit by these financial challenges.
Also Read:Â School Capitation to Hit School Accounts on this Date
The delay in disbursing funds affects the day-to-day operations of schools, including purchasing educational materials, paying salaries, and settling utility bills.
School heads and principals are blaming the Treasury and the Ministry of Education for their financial difficulties and accuse these ministries of not acting promptly.
Some head teachers are even taking loans from banks to keep their schools running while they wait for government funds.
Over the past two years, the government has not adhered to the 50:30:20 funding formula, instead releasing funds quarterly, which has further complicated school finances.
Leaders in education are calling for clear communication and timely disbursement of funds to address these challenges and ensure the smooth operation of public schools in Kenya.
Schools Straining Financially face Early Closure Despite Capitation Release