Thousands of first-year university students are beginning their 2026/2027 academic journey without clear information on how their tuition will be paid, as the government delays detailed guidelines on its new higher education funding model.
The uncertainty comes just weeks before the government is expected to introduce a system under which the state has pledged to fully fund university students, including tuition and upkeep.
However, universities, students and parents are still waiting for clear instructions on how the new arrangement will work in practice, leaving institutions to admit students without knowing when or how government funding will reach them.
Universities Admit Students Without Fee Guidelines
Universities have already started registering and admitting first-year students despite the absence of detailed government guidance on tuition payments.
At Machakos University, more than 3,000 first-year students had reported by Tuesday as the institution continued with registration.
Vice-Chancellor Joyce Agalo said the university was accepting all students while waiting for the government to clarify the new fee structure.
For now, students are being asked to pay for expenses such as accommodation where necessary, while the university waits for official communication regarding other charges.
The situation has left institutions having to make administrative decisions without knowing exactly how the government's promised funding will be implemented.
Students and Parents Demand Clarity
The uncertainty has raised concerns among parents who want assurances that their children will not encounter financial difficulties after reporting to university.
Many families are also unsure whether they will be required to make any tuition payments under the new system or whether the government will settle the costs directly with universities.
Students, meanwhile, remain concerned about broader problems affecting higher education funding, including delays in disbursements from the Higher Education Loans Board (HELB).
The lack of clarity is particularly significant for students from low-income households who depend heavily on government support to remain in university.
New Funding Model Still Taking Shape
The government's proposed changes are contained in the Tertiary Education, Placement and Funding Bill, 2026, which seeks to overhaul the way higher education is financed.
The Bill proposes merging HELB, the Universities Fund and the TVET Fund into a new Tertiary Education Funding Authority (TEFA).
The proposed authority would become the central institution responsible for financing students in universities, colleges and TVET institutions.
The government argues that consolidating the existing agencies will create a more unified and sustainable approach to tertiary education financing.
However, the new system has yet to be fully operationalised, leaving universities waiting for specific instructions on how funding will be allocated and processed.
Government Plans to Change University Funding
The uncertainty comes as the government prepares for an even broader transformation of university financing.
The government has announced plans to move university funding away from the national budget and towards a market-based financing model from October 2026.
Under the proposed arrangement, the government would capitalise a fund over time, with the fund then raising additional money from financial markets.
The plan represents a major shift from the traditional system of financing universities through annual budget allocations.
However, with the new model still being developed, universities face questions over how the transition will affect their cash flow and ability to meet operational expenses.
Universities Face Difficult Balancing Act
For universities, the immediate challenge is admitting and supporting students while waiting for clarity on government payments.
Institutions require money to pay staff, provide accommodation and services, maintain facilities and meet other operational expenses.
Any delay in government funding could therefore place additional pressure on universities already struggling with financial constraints.
At the same time, universities cannot simply turn away students who have been placed through the national placement system.
Machakos University's decision to admit students while waiting for official guidance illustrates the difficult position institutions currently face.
First-Year Students Wait for Government Direction
The government's promise to fully fund students has created significant expectations among new university entrants.
However, without detailed guidelines, students and parents remain uncertain about what the policy means for actual payments, registration requirements and other university charges.
The coming weeks will therefore be critical as the government seeks to finalise the new funding framework and provide universities with the information needed to implement it.
Until the government issues clear fee guidelines, thousands of first-year students face an uncertain start to university, while institutions struggle to plan around an unconfirmed funding system.
