Technical University of Kenya Declared Insolvent as Debt Soars to Ksh12 Billion

April 17, 2025

The Technical University of Kenya (TUK) is in a tough spot, grappling with a massive Ksh 12 billion debt. This financial turmoil has led to the university being officially declared insolvent by the Parliamentary Committee on Education and Administration.

The committee’s investigation into TUK’s current and past management has uncovered some concerning issues. Staff members, including lecturers, haven’t received their full salaries since 2013. This financial mismanagement dates back to when TUK gained full university status and a charter.

Benedict Mutua, TUK’s Deputy Vice Chancellor, revealed to the parliamentary committee that, “Since 2013, honestly, no TUK employee has received a full salary.”

Over-employment has been blamed as the root of the problem. According to Mutua, the university has more staff than it can afford. “The government provides us with Ksh.63 million monthly, but we need Ksh.270 million just to cover salaries,” he explained.

Besides the salary backlog, TUK hasn’t been remitting employee deductions for years. Over Ksh.5 billion meant for pension funds remain unremitted, significantly adding to the university’s debt woes.

Francis Oduor, a former Deputy Vice Chancellor, admitted, “I honestly can’t remember the last time we remitted deductions. To be honest, we haven’t paid any since the university became a fully chartered institution.” He was referring to 2013, when the institution received it’s university charter.

The committee has demanded an immediate audit of TUK’s financial practices, instructing government auditors to finish their investigation within three months. Meanwhile, discussions with the Ministry of Education are underway to tackle this crisis, which threatens to bring university operations to a standstill.

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