Moi University, a long-standing pillar of higher education in Kenya, is currently grappling with a severe financial crisis that has led to sweeping staff redundancies and a major overhaul of its leadership. The institution, burdened by debts reported to be over KSh 9-10 billion, is undergoing a “Right-Sizing Exercise” as it fights for financial stability and a sustainable future.
The most immediate and impactful consequence of the financial woes has been the issuance of redundancy letters to over 980 employees in May 2025. The university administration, led by acting Deputy Vice-Chancellor for Administration, Planning and Strategy, Prof. Loice Maru, stated that the move was necessitated by overwhelming financial constraints and an overstaffed workforce, partly due to staff returning to the main campus after several constituent colleges received charters. Affected staff, including members of the University Academic Staff Union (UASU), Kenya University Staff Union (KUSU), and Kenya Union of Domestic, Hotels, Educational Institutions, Hospitals and Allied Workers (KUDHEIHA), are slated to receive terminal benefits in line with the Employment Act. However, the unions have vehemently opposed the redundancies, terming them illegal and unprocedural, and have initiated legal action to reverse the decision.
This drastic measure underscores the depth of the university’s financial predicament, described in late 2024 as “technically insolvent” since 2016. An unsustainably high wage bill, consuming as much as 88% of the institution’s total revenue, coupled with a significant decline in student enrollment from approximately 50,000 in 2015 to 27,000 in 2021, has severely crippled its revenue streams. The university has also struggled with timely remittance of statutory deductions, further compounding its financial obligations.
In response to the escalating crisis, the Kenyan government has intervened on multiple fronts. In January 2025, the Ministry of Education orchestrated a significant leadership change, inaugurating a new Moi University Council chaired by Prof. Noah Midamba. This overhaul was aimed at steering the institution out of its governance and financial challenges and restoring public trust. Education Cabinet Secretary Julius Ogamba has emphasized the government’s commitment to ensuring transparency and accountability in the management of public universities.
President William Ruto has also publicly acknowledged the challenges facing Moi University and pledged government support to find lasting solutions, including the establishment of an efficient management team and allocation of resources. The National Treasury has made several disbursements to the university, including KSh 609 million in October 2024, with a further KSh 500 million anticipated in November 2024. An additional KSh 1.8 billion was allocated in a February 2025 supplementary budget to assist with salary payments and other urgent needs. Despite this, Treasury has also proposed budget cuts for the university in the upcoming fiscal year, signaling the need for robust internal revenue generation strategies. The university has been urged to leverage its assets, enhance consultancy services, and explore other income-generating activities.
Amidst these significant challenges, Moi University continues its core academic functions. The institution is currently admitting privately sponsored students for the 2024/2025 academic year across its various undergraduate, postgraduate, and diploma programmes, with applications being processed online.
Furthermore, the university is actively pursuing collaborations. In March 2025, Moi University renewed its partnership with the Uasin Gishu County government to foster collaboration in development initiatives, including a joint international conference on Renewable Energy, Climate Change, and Restoration of Ecosystems held in April 2025. More recently, in May 2025, the university launched an Erasmus+ project, “AIR4LIFE,” in collaboration with the University of Bremen, focusing on leveraging Internet of Things (IoT) and Artificial Intelligence (AI) for air pollution monitoring.
The path ahead for Moi University remains challenging, requiring concerted efforts from its new leadership, unwavering government support, and the resilience of its faculty, staff, and students. The coming months will be crucial in determining whether the institution can successfully navigate its current financial storm and re-establish itself as a thriving centre of academic excellence.