Nairobi, Kenya – July 25, 2025 – The Kenyan government has publicly acknowledged it can no longer sustain full funding for free primary and secondary education, marking a significant shift in national education policy that could burden millions of parents.
Treasury Says Capitation Unsustainable
Treasury Cabinet Secretary John Mbadi, while appearing before the National Assembly Committee on Education on Thursday, confirmed that the State has been forced to slash capitation funding due to overwhelming budgetary constraints.
“If you look at the total budget for the year and divide it by the number of total students, you will see that instead of Ksh.22,000, we are funding about Ksh.16,000,” said Mbadi. “So we release 50%, 30%, then 20%. As to whether it is enough, it is not.”
This statement confirms earlier concerns that the government was struggling to meet its financial obligations under the Free Day Secondary Education (FDSE) program launched in 2008.
What the Capitation Cut Means for Parents
The reduced capitation—from Ksh.22,000 to Ksh.16,600 per secondary school student—means that parents will now have to cover the difference, including costs for learning materials, meals, and development funds.
This is a sharp turn from the government’s long-standing pledge to offer free basic education, which has helped increase school enrolment since the early 2000s.
UNESCO has previously praised Kenya’s free education model as a key success in Africa, but warned that underfunding could reverse the gains.
MPs Demand Transparency and Accountability
The funding cuts have alarmed members of Parliament, who are now demanding full transparency from both the Ministry of Education and the National Treasury.
Lawmakers also cited a recent report by the Auditor General, which exposed that public funds were disbursed to non-existent schools in the previous financial year. This has cast further doubt on the efficiency and integrity of the education financing system.
Read our coverage on this unfolding scandal:
👉 Ghost Schools Exposed in Auditor General Report
Kenya’s Education Future at a Crossroads
This funding crisis raises tough questions about the sustainability of Kenya’s free education model. Analysts argue that unless corruption is curbed and funding priorities realigned, both quality and access will suffer.
According to The World Bank, predictable and transparent education financing is essential for ensuring equity and learning outcomes in developing countries.
Education stakeholders, including teachers’ unions and civil society groups, are calling for a national dialogue on the future of education financing.
What Parents and Schools Should Expect
Here’s what’s changing for public school education in Kenya:
- Government capitation reduced from Ksh.22,000 to Ksh.16,600 per student.
- Parents expected to fill the funding gap.
- Funds to schools will be disbursed in staggered tranches (50%, 30%, 20%).
- Increased scrutiny from Parliament on budget use and school accountability.
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