Moi varsity admits crisis, plans to raise Sh40bn annually

The Moi University Council has admitted the university is paralysed by debts of more than Sh5 billion but said it has a rescue plan.

Council chairman Dr Humphrey Njuguna said on Monday the crisis was partly caused by a bloated workforce and a sharp decline in student numbers from 50,000 to fewer than 30,000.

He was speaking at the university during the groundbreaking for an Sh8 billion amphitheater centre.

Njuguna said the council has a plan to save the university from collapse. It plans to revive all operations through income-generating activities to supplement dwindling state funding.

The aim is to generate Sh40 billion annually, he said, citing fruits farming. 

“We made mistakes during expansion and deviated from our co-mandate leading to a bloated workforce. Other challenges also affected operations and now we are overwhelmed by debt," he said.

Njuguna said the university even was unable to take care of workers' welfare. He denied, however, the bloated workforce includes hundreds of ghost workers on the university payroll.

“We have a bloated workforce that we are working to downsize but we have no ghosts here," he said.

The groundbreaking was presided over by Higher Education PS Simon Nabukwesi. Vice-chancellor Professor Isaac Kosgey was present.

The EACC has opened investigations into allegations of improper spending at the vice chancellor's office. It is also investigating claims of many ghost workers on the payroll.

Professor Kosgey has said there was no major cause of concern about university operations. 

In her latest audit of the university for 2018-19, Auditor General Nancy Gathungu said the university was technically insolvent because of debts. She said it cannot fund its operations that it was nearing collapse.

Dr Njuguna welcomed the EACC probe, saying they had nothing to hide.

He said the university council was in the process of unveiling a major recovery plan. Part of it will use 1,000 acres for fruit farming expected to earn more than Sh40 billion a year.

“We have done our due diligence on the projects we plan to undertake. Within the next four years we will ensure Moi University is back on its feet to offer the best quality education in the country as before," Njuguna said.

The government will also expand infrastructure at public universities due to the increasing demand for higher education.

Ambassador Nabukwesi said free primary and day secondary schools education will increase the number of students seeking higher education.

He said the government will provide extra funding for lecture rooms, hostels and other facilities.

(Edited by V. Graham)