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Public schools hit with financial crunch as government delays release of FSE and FPE funds

by Hillary Kangwana
January 8, 2026
in Latest Education News
0
File photo- Students learning in a public school

File photo- Students learning in a public school

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The government through the Education ministry is yet to release Free Secondary Education, FSE, and Free Primary Education funds for third term, 2018.

Education Principal Secretary Bellio Kipsang explained that the delay was caused by the Finance Bill 2018 which cut the Ministry’s budget by Ksh1 billion.

“We are in talks with the National Treasury on this issue. We have the best interests of our children at heart and we will ensure that they get the funds on time,” said Kipsang.

Kenya Secondary School Heads Association Chairman Kahi Indimuli recently also raised alarm over the expected increase in the price of commodities due to the 8 per cent VAT imposed on fuel.

“When you delay the funds, it means we have to get items from suppliers on credit, yet most of them are not willing to do so,” he lamented.

Indimuli wondered why the government is yet to disburse the 20 per cent capitation fund a month after schools reopened.

The secretary general Kenya National Union of Teachers, KNUT, Hon. Wilson Sossion has asked the government to release the funds to enable smooth preparations by schools for national examinations.

The annual fee for day secondary schools is Sh22,244 per child which is paid for all students in public day and boarding schools. The subsidy is disbursed in the ratio of 50:30:20.

The government releases Kshs. 11,112 for term one, Kshs. 6,673.2 for term two and Kshs 4448.8 for third term for each child. The government has already disbursed a sum total of Kshs. 17,785.2 for term one and two, this year.

Schools are now grappling with a financial crisis with the government delaying funds for this term ahead of start of National examinations, next month.

Schools’ heads say that it has become difficult to run schools and adequately prepare for national in terms of purchasing major laboratories equipment.

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