University of Nairobi vice chancellor Peter Mbithi (left) and KCB head of digital financial services Edward Ndichu in Nairobi on February 27, 2017. Prof Mbithi said the university’s budgetary support has dropped. Photo nation.co.ke
The University of Nairobi (UoN) has petitioned Parliament to reverse a Sh1.7 billion budget cut by the Treasury in the coming financial year, arguing that it will affect delivery of services at the institution.
The university council Monday said budget proposals for the next financial year was Sh6.2 billion, but the varsity was surprised to see a significant cut in the expenditure estimates tabled before Parliament two weeks ago.
“The budget proposals forwarded to Parliament have projected a drastic reduction to the university budget by Sh1.7 billion,” said UoN Vice Chancellor Prof Peter Mbithi.
“The council therefore petitioned Parliament to address the matter through its budget committee,” said Prof Mbithi. The proposed budget cut is premised on the new formula of costing degree programmes called the Differentiated Units Costs (DUC).
Speaking during a Press briefing by the university council and senate, Prof Mbithi said the new formula had been agreed on in principle with the vice chancellors’ committee but its implementation should have been gradual.
Prof Mbithi said the university has been experiencing a steady decline in budgetary support from the Treasury.
“While we acknowledge that we have been facing financial challenges like any other public entity due to declining budgetary support and also due to delays in exchequer releases, the allegations of insolvency and inability to pay salaries are serious exaggerations,” said Prof Mbithi.