Principals issue demands over Ksh18B owed to schools
By William Muthama, July 14, 2025Secondary school principals are demanding the urgent release of Ksh18 billion in capitation arrears for the first and second terms, warning that the cash crunch is crippling school operations nationwide.
Speaking on Monday, July 14, 2025, in Murang’a, Kenya Secondary School Heads Association (KESSHA) Chairperson Willie Kuria said many institutions are struggling to pay suppliers, support staff, and Board of Management (BOM) teachers. He noted that financial pressure continues to mount as the second term nears closure.
“The total arrears for the first term were Ksh7.6 billion and Ksh11 billion for the second term,” Kuria said. “We are operating under immense strain with only two weeks left before schools close.”
Capitation is disbursed in three tranches: 50 per cent in Term One, 30 per cent in Term Two, and 20 per cent in Term Three. Each learner is entitled to Ksh22,144 annually, but disbursements this year have fallen far short.
For the first term, the government was expected to release Ksh11,122 per learner but only disbursed Ksh8,818, leaving an arrears of Ksh2,304.
In the second term, schools received Ksh3,471 instead of Ksh6,673, creating a deficit of Ksh3,202 per learner. This affects more than 3.28 million students in public secondary schools.
Deficit
Kuria, who also serves as Chief Principal of Murang’a High School, said delayed funds are causing tension with suppliers, many of whom are now demanding payment before schools close.
He added that schools lack money to pay BOM-employed staff and cover essential services.
“This issue didn’t begin this year. Capitation has been falling short year after year,” Kuria said, citing past figures: Ksh4,289 per learner was released in 2022, Ksh4,150 in 2023, Ksh4,505 in 2024, and now just Ksh3,471 in 2025.
He also raised concerns over the plight of special needs schools, which received only Ksh26,148 of the expected Ksh35,370. These institutions, he said, are forced to send students home when utilities like water or electricity are disconnected due to unpaid bills.
Call for accountability
Kuria urged the government to come clean on how much it can realistically disburse and to allow parents to chip in the remainder. “Before 2017, parents contributed Ksh9,000 per student. If the state can’t manage full funding, let it be honest about it,” he said.
KESSHA Secretary General Abdinoor Haji said day secondary schools are suffering the most, as they fully depend on government capitation.
“Most heads are playing hide-and-seek with suppliers. Some have had to lay off BOM teachers, leading to overcrowded classes,” he said.
Kuria concluded by calling for a capitation review every three years to adjust for inflation. He warned that without action, schools will continue closing early, cutting co-curricular programs, and producing declining academic results.