Public universities are facing a steep drop in government capitation, with new official figures showing that total allocations have fallen by about Sh13 billion under the current higher education funding system.
Data from the Kenya National Bureau of Statistics shows that nearly all major public universities have recorded reduced funding between the 2023/2024 and 2025/2026 financial years, alongside shifts in the number of students supported by the government.
At the University of Nairobi, government funding reduced from Sh2.44 billion in 2023/2024 to Sh947.8 million in 2024/2025, before falling further to Sh534.79 million in 2025/2026.
A similar trend is seen at Jomo Kenyatta University of Agriculture and Technology, where allocations dropped from Sh2.5 billion in 2023/24 to Sh474.83 million in 2025/26.
Egerton University also recorded a decline, with funding moving from Sh1.73 billion in 2023/24 to Sh628.74 million in 2024/25, and further down to Sh365.24 million in the current year.
Other major institutions have not been spared. Kenyatta University, Moi University and Maseno University all moved from allocations above Sh1 billion in 2023/24 to slightly above Sh600 million in 2025/26.
Technical universities recorded even sharper reductions. The Technical University of Mombasa saw funding fall from Sh1.06 billion in 2023 to Sh90.9 million, while the Technical University of Kenya dropped from over Sh1.1 billion in 2023/24 to Sh172 million in 2025/26.
The report also shows changes in the number of students receiving government support. At the University of Nairobi, government-sponsored students dropped from 23,666 to 10,859 before rising again to 19,114 in the latest period.
However, the pattern is not uniform across institutions. At Masinde Muliro University, government-sponsored students increased from 14,834 in 2023 to 16,373 in 2025/26, even as funding dropped from Sh1.29 billion to Sh550.79 million.
The findings come as 2025 KCSE candidates prepare for university placement ahead of the September intake, placing attention on how state funding will support incoming students.
The data has raised questions about the stability of university financing under the current model, especially as enrolment patterns continue to shift.
Under the current system, only students placed in public universities qualify for government scholarships, while all university students, whether in public or private institutions, can access loans through the Higher Education Loans Board.