Court of Appeal Upholds Ruto’s University Funding Model in Landmark Ruling
The Court of Appeal has granted a significant win to President William Ruto, suspending a High Court order that had nullified his administration’s new university funding model.
This decision allows the government to proceed with the Variable Scholarship Loan Funding Model.
Introduced in 2023, this model aimed to replace the previous Uniform Funding Model. The older system provided equal financial support to all students, regardless of their economic backgrounds. The new model, however, tailors funding based on individual student needs.
On March 26, 2025, the appellate court ruled to stay the High Court’s judgment. This ruling effectively reinstates the contested funding framework, at least for the time being. The court has also mandated that the Attorney General, the Higher Education Loans Board (HELB), and the Kenya Universities and Colleges Central Placement Service (KUCCPS) must publicize the funding model within 14 days. This dissemination is crucial for informing universities, colleges, and students.
“The execution of the Judgment and orders of the High Court in Petition 412 of 2023, issued on 20th December 2024, is stayed,” the court stated in its ruling.
The legal dispute originated from a High Court decision that deemed the government’s new funding model discriminatory and lacking in adequate public consultation. Justice Chacha Mwita argued that the model breached the Universities Act by categorizing students based on financial capacity, school type, and age.
In response, HELB and the Universities Fund challenged the High Court’s ruling. They argued that the decision had paralyzed their ability to distribute funds, potentially jeopardizing the operations of universities and the financial stability of students.
Mary Muchoki, former Acting CEO of HELB, submitted an affidavit warning that the High Court’s judgment could lead to the indefinite closure of higher education institutions.
Geoffrey Monari, former CEO of the Universities Fund, defended the new funding model. He asserted that it was more equitable and cost-effective than its predecessor. Monari also cautioned that the High Court’s decision could precipitate a funding crisis, leaving students without essential financial assistance.
While the Court of Appeal’s interim ruling offers temporary relief, the final verdict on the model’s legality remains pending.
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Court of Appeal Upholds Ruto’s University Funding Model in Landmark Ruling
